Pakistan, grappling with prolonged economic instability, has announced the sale of its national carrier, Pakistan International Airlines (PIA), in a bid to secure funds from the International Monetary Fund (IMF) and stabilize the country’s finances. This represents the largest privatization effort in the past two decades, driven by IMF bailout conditions. The government aims to sell between 51% and 100% of PIA’s shares, with projected revenue of approximately $86 billion, of which 15% will go to the state and the remainder allocated for airline restructuring. PIA, long plagued by corruption, mismanagement, and pilot license scandals, has seen four bidders qualify for the privatization process.
Prime Minister Shehbaz Sharif announced that the bidding process will be broadcast live on December 23, 2025. Privatization Minister Muhammad Ali emphasized that proceeds from the sale will support both fiscal targets and the revival of the struggling airline. The move follows years of financial strain, during which Pakistan has sought IMF assistance while attempting to manage the country’s debt and economic vulnerabilities discreetly.
Speculation has emerged over possible military influence in the sale, with reports linking one of the qualified bidders to the military-controlled Fauji Fertilizer Company Limited, part of the Fauji Foundation conglomerate. Pakistan Army Chief Asim Munir is said to exert indirect control over the company through his Quartermaster General office role, raising concerns that the privatization could serve military or personal interests. Critics, including former Prime Minister Imran Khan, have highlighted the potential for undue influence, reflecting ongoing debates over the military’s role in Pakistan’s economic and political affairs.