More bad news for bankrupt Pakistan, Shehbaz govt decides to sell one of country's biggest company, the company is...
More bad news for bankrupt Pakistan, Shehbaz govt decides to sell one of country's biggest company, the company is...
After India's Operation Sindoor, Pakistan's condition seems to be worsening and now it's clearly visible too. One major sign of this is the upcoming sale of one of its biggest companies. The Pakistani government is preparing to sell its national airline, Pakistan International Airlines (PIA), to private players and reports say that they have already started inviting bids for it.
Originally, the last date to submit bids was June 3, but it has now been extended to June 19. This move gives potential buyers more time to prepare their proposals to take over PIA.
The government wants more people to participate in the bidding process, which is why they have given a 15-day extension. This sale is considered one of the biggest and most important privatization steps in Pakistan's recent history. Govt offering to sell between 51-100 per cent of its ownership
A senior official from Pakistan's Privatization Commission confirmed to The News that the deadline for submitting bids has been extended, but all other terms and conditions for the sale remain unchanged. The government is offering to sell between 51 per cent and 100 per cent of its ownership in PIA, along with full management control.
When asked why the deadline was extended, the official said it was because of the Eid-ul-Adha holiday. This move comes as part of the government's plan to reduce its fiscal deficit, fix loss-making state-owned enterprises, and attract foreign investment. The privatization of PIA is also part of the broader economic reforms agreed upon with the International Monetary Fund (IMF) under the Extended Fund Facility (EFF) program. What was the plan earlier?
To make the deal more attractive, the Pakistani government has introduced new incentives. These include GST (Goods and Services Tax) exemptions on new aircraft and removing PIA's loans from its balance sheet. The goal is to present potential buyers with a 'clean, zero-debt' balance sheet. A revised price benchmark for the deal may also be set soon.
This new plan is much simpler and more straightforward compared to the previous failed attempt. Earlier, the government had offered 60 per cent of shares with an optional 15 per cent top-up. However, that plan failed mainly because of PIA's huge negative equity of 45 billion rupees and an 18 per cent GST on aircraft, which turned buyers away.
EY Consulting LLC is advising the Privatization Commission on this sale. The government hopes to complete the process within this calendar year.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
India.com
36 minutes ago
- India.com
Eid al-Adha 2025: This MUSLIM nation bans animal sacrifice during Bakrid due to…, not Pakistan, Bangladesh, Saudi Arabia, Qatar, Turkey, Azerbaijaan, Dubai, name is…
New Delhi: Eid al-Adha is one of the significant festivals of Islam. This year, the festival will be observed in the United States beginning on the evening of Friday, June 6, and concluding on the evening of Saturday, June 7. Also known as the 'Festival of Sacrifice,' Eid al-Adha commemorates Prophet Ibrahim's unwavering faith and his willingness to sacrifice his son in obedience to God's command. However, in Morocco, which is a Muslim country, a decision by the government has triggered a nationwide uproar. King Mohammed VI, in a royal decree, has banned the sacrifice of goats this year. Following this decision, raids are being conducted across the country in search of goats. The decision has sparked widespread unrest throughout the nation. The King of Morocco has cited 'economic and health reasons' behind the order. After the order, the authorities have started conducting door-to-door raids in several cities and areas, confiscating people's goats. Videos are going viral on social media where security forces can be seen taking goats away from homes. There is widespread anger among the people over this incident. Why This Decision: The decision by King Mohammed VI has created major unrest in the country, with people calling it an insult and a mockery of their religious beliefs. However, King has stated that he would 'offer the sacrifice on behalf of the people for Eid al-Adha'. Critics say the decision is a tactic to cover up inflation and government failures. Islamic scholars in the country have called it a violation of religious rights and an attack on the public's religious freedom. Eid al-Adha holds profound spiritual meaning for Muslims worldwide. It commemorates the story of Prophet Ibrahim, who demonstrated his devotion to God by preparing to sacrifice his son
Mint
36 minutes ago
- Mint
Gujarat Govt working on Operation Sindoor memorial park near Pakistan border: Report
The Bharatiya Janata Party (BJP) government in Gujarat is working on a memorial park dedicated to Operation Sindoor — India's precision strikes on nine terror camps in Pakistan and Pakistan-Occupied Kashmir after the 22 April Pahalgam terror attack. The memorial park – a mark of respect for the defence forces – coming up in Kutch district on the India-Pakistan border – will be called 'Sindoor Van' (forest), according to a report in The Indian Express. The Kutch district of Gujarat was most affected by attacks from Pakistan. The memorial is expected to be completed in about a year and a half, and the work has already begun on the ground, the report quoted officials. 'In memory of the unity exhibited by society, Army, Air Force, BSF and other forces during Operation Sindoor, the Sindoor Van — a memorial park — is being planned by the forest department,' Kutch Collector Anand Patel told The Indian Express. India carried out precision strikes under Operation Sindoor on nine terror infrastructures in Pakistan and Pakistan-Occupied Kashmir, on 7 May in response to the 22 April Pahalgam terror attack that killed 26 people, mostly tourists in Jammu and Kashmir. Following the Indian action, Pakistan attempted to attack Indian military bases on 8, 9 and 10 May. The Pakistani attempts were strongly responded to by the Indian side by inflicting heavy damages to a number of key Pakistani military installations including air bases, air defence systems, command and control centres and radar sites. In memory of the unity exhibited by society, Army, Air Force, BSF and other forces during Operation Sindoor, the Sindoor Van — a memorial park — is being planned by the forest department. The memorial park will spread over eight hectares of land owned by the state forest department in Mirzapar on the Bhuj-Mandvi road. The land includes the part where Prime Minister Narendra Modi held a public meeting on 26 May during his first visit to Gujarat after Operation Sindoor. The park will also have an area dedicated to the victims of the 22 April Pahalgam terror attack. Three of the 26 Pahalgam victims were from Gujarat.
Hindustan Times
44 minutes ago
- Hindustan Times
BJP's Jiwan Gupta files papers for Ludhiana West bypoll
Bharatiya Janata Party (BJP) candidate Jiwan Gupta filed his nomination papers on Monday for the Ludhiana West bypoll scheduled for June 19. He was accompanied by state BJP chief Sunil Jakhar, Union minister of state for railways and food processing industries Ravneet Singh Bittu, and senior BJP leaders Vijay Rupani, and Rajneesh Dhiman. The district BJP president was also present. Jakhar said the Ludhiana West bypoll is an opportunity for voters to 'give a fitting reply to the anti-people policies of the AAP government.' He stated, 'Punjab wants change once again, and this change will start from Ludhiana West. What's happening today is not governance for Punjabis—it's remote-controlled from Delhi. Corruption is rampant under AAP.' Bittu echoed Jakhar's sentiments, saying, 'This time, the BJP high command has placed its faith in a grassroots-level leader with over 35 years of service in the party. If Jeewan Gupta wins, no one can stop the developmental wave in Ludhiana West.' Gupta, BJP candidate and a long-time party worker, expressed confidence about winning the seat by a significant margin. 'We will win with a big lead. For three and a half years, people have seen nothing but corruption, the rise of drugs, and unchecked sand mining under the current regime. The people are ready to write a new chapter from Ludhiana West,' he said, while highlighting the public's warmth and support during his door-to-door campaign. Jakhar alleged that 'Delhi's people have hijacked Punjab's government,' referring to the increasing influence of AAP's Delhi leaders in the state. Bittu, urged voters to deliver a decisive victory for BJP candidate Gupta in the upcoming byelection. Bittu emphasized that a win here could set the momentum for forming a BJP government in Punjab in 2027. Speaking at a gathering of party workers and leaders in Ludhiana, Bittu called the byelection a golden opportunity for BJP to demonstrate its growing strength in Punjab. 'This election is our chance to send a clear message to both the party leadership and the people of Punjab that the state is aligned with the vision and leadership of Prime Minister Narendra Modi,' he said. Addressing the delay in ticket declaration, Bittu explained that the party's central leadership was focused on 'Operation Sindoor' against Pakistan. Eventually, Gupta — a loyal party worker with over 30 years of grassroots service — was chosen. Highlighting ongoing central government support, Bittu reminded the people that even during his tenure as a Congress MP, Ludhiana benefited from significant development initiatives like the Smart City project, an international airport, and a world-class railway station — all funded by the Centre. Criticising AAP, Bittu remarked on the party's inability to field a local volunteer, and instead opting to award the ticket to political heavyweights. 'It's ironic — AAP couldn't find a single committed volunteer from Ludhiana,' he said. He also took a swipe at Congress, highlighting the party's 'internal disarray after controversial inductions of certain leaders'. 'Even the Punjab Congress president denied being informed about the new joinings,' Bittu added. While addressing the media, Bittu said that under 'Operation Sindoor' the Indian forces have targeted terrorist establishments 300 km inside Pakistan under the leadership of Prime Minister Narendra Modi. 'To pay gratitude for the 'Operation Sindoor' we can cast our vote for the BJP candidate,' he said. Former cabinet minister Dr Harbans Lal was also present on the occasion. To bolster the campaign, BJP has deployed a team of star campaigners including Union ministers Gajendra Singh Shekhawat and Anurag Thakur, along with senior leaders, including former MP Avinash Rai Khanna, ex-state president Ashwani Sharma, former minister Manoranjan Kalia, MLA Manjinder Singh Sirsa, and party co-incharge Narinder Singh Raina.
