PIA cannot be sold at throwaway price: privatisation minister

LAHORE: Federal Minister for Privatisation Abdul Aleem Khan has said that Pakistan International Airlines (PIA) could not be sold at a throwaway price.

Addressing a press conference in Lahore, he said that as a privatisation minister, it was his responsibility to facilitate the airline’s sale not to restructure it.

Aleem Khan said that the privatisation process for PIA had started six months prior to his assuming charge of office, and he could not alter the existing framework for its privatisation.

“It is not my job to fix PIA but to oversee its sale, and I have no authority to alter or modify the established privatisation framework,” he said.

He explained that the structure for PIA’s privatisation, which includes the parking of a Rs600 billion debt, was set up before he assumed the charge of the ministry. He said that his role was confined to following the determined procedure for privatisation.

“I did not bring PIA to this state,” he said adding that everyone involved should look inwardly to assess their role in the national airline’s current plight.

He said that if assigned the responsibility to reform PIA, he would welcome accountability from the public.

However, he said that any shortcomings in the sale process would be his responsibility, although he can only implement the privatisation law as it stands.

Aleem Khan criticized former privatisation ministers, saying, “Those advising me now should have addressed this issue during their own terms. I am the 25th person to hold this position before my arrival.”

He said that the PIA is a national asset and should not be sold off at a throwaway price. “I don’t need to be taught business; I am fully aware of my responsibility,” he said.

The minister welcomed provincial governments’ interest in acquiring PIA, saying, “We have no objections and are pleased with their interest.”

Khan expressed optimism that if managed correctly, PIA could be a highly profitable asset. He said that every government has had a role in contributing to decline of the PIA.

After the Blue World City Consortium, the sole bidder, failed to meet the minimum sale price of Rs85.3 billion set by the government for the auction of 60 per cent stake in the Pakistan International Airline (PIA), the Khyber Pakhtunkhwa government announced to buy the national flag carrier.

The Khyber Pakhtunkhwa government, on the instruction of Chief Minister Ali Amin Gandapur, had written a letter to the Privatisation Commission, showing an interest to buy the PIA to turn the loss-making entity into a profitable airline.