ISLAMABAD: In an effort to bring transparency, the financial affairs of Pakistan International Airlines (PIA) are likely to be handed over to the Privatisation Commission, ARY News reported on Saturday, citing sources.
Sources told ARY News that the PIA’s financial affairs will be handed over to Privatisation Commission as the latter would take measures to reduce its losses.
Sources further claimed that the commission will link the national carrier’s financial affairs with latest system. By improving PIA’s financial affairs, the commission will improve its balance sheet – which will help in carrier’s privatisation.
Meanwhile, sources added that the administrative control of the institution will continue to be with the PIA’s management. Moreover, the administrative affairs will remain under the Ministry of Aviation.
Sources also claimed that that the matters of PIA’s regulation will remain with civil aviation. The Privatisation Commission wants to make institution’s accounts transparent by December 31.
Earlier, the privatization plan of the loss-making Pakistan International Airlines (PIA) was revealed.
Related: PIA-owned Scribe Hotel listed for privatisation: sources
According to sources, the plan to privatise the national airline and power distribution companies and the restoration plan of Pakistan steel mills has been finalised.
Sources said that the appointment of a Financial Advisor for the privitisation of PIA has also begun. The affiliated institution with the national airline will not be privatised however the plan to resolve issues related to PIA debt, government guarantees are finalised sources added.
The privatisation commission sources revealed that Pakistan steel mill cannot be privatised in current circumstances meanwhile the mill’s production and capabilities will be increased to attract investors.
It is pertinent to mention here that the work on the restructuring plan of Pakistan International Airlines for privatization has been expedited.
As per details, the PIA administration sought applications from legal and corporate firms for the restructuring plan of the national flag carrier.
The assets belonging to the national airline, including property, debts, aircraft, and employees, will be transferred to the new company and PIA will be presented to the investor as free from debt organization for privatization.
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