Cabinet committee also gives go-ahead to new provisional business package. PHOTO INP
The decision was taken during an ECC meeting, headed by newly-appointed Finance Minister Saleem Mandviwalla, in Islamabad.
The committee also approved extension of all expiring government guarantees as requested by the national carrier.
Minister of Defence Syed Naveed Qamar, Secretary Defence and Chairman PIA Asif Yasin Malik, Managing Director PIA Muhammad Junaid Yunus and Chief Financial Officer PIA Aftab Ahmed were present during the meeting.
New aircraft
PIA spokesperson, in a statement, said the airline will acquire new narrow body aircraft on dry lease.
The purchase is aimed at improving its schedule reliability as well as to save on fuel costs.
COMMENTS (7)
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Why the government needs to run an airline. Sell it off and focus on providing security to the people.
Please explain WHY the government of Pakistan NEEDS to be in the (money losing) airline business at all? (Other than for providing jobs to party faithful?) We might all wonder why privately held airlines in the Gulf Region do so much better!
After giving themselves 45% raise to its employees now PIA wants tax payers to bail it out.
@MAZHAR S KHAN: Mazhar, one and only one question, please ENLIGHTEN me, how come all these "RETIRED PIA FAMILY MEMBERS" have ALL ENDED up in living in Canada? Was Pakistan not good enough for all these "FAMILY MEMBERS" ? I am sure there might be a Pakistani "FAMILY MEMBERS CLUB OF RETIRED GENERALS, RETIRED MULLAHS OF PAKISTAN" ALL IN CANADAAAA :-))))))))))))))))))))))))))))))))
Government corruption and interference in PIA has brought it to its knees. Now the same people who did this are trying to be its saviours. If they really wanted the best for the airline they should leave it alone (no appointments of labor and officers on political basis) so that a meritocratic management would rise to run a healthy business for 180 million captive population that does not need bailouts. Remember CEO Captain Haroon, buddy of the Big Man in Islamabad, who tried pawning off PIA to Turkish Airlines. He now runs Turkish Airlines business in Pakistan, having secured multiple landing rights and services to Pakistan without equal offsetting reciprocal rights for PIA. Deals such as these that have destroyed PIA revenue stream. Like Judas, many Pakistanis sell their conscience and loyalty for a few pieces of silver.
HOPE FOR THE BEST WWW.PIAFCC.COM
If you don't want to privatize it, please split it in 4 and hand it over to the provinces. That competition should make it better while staying supposedly government owned.