The new owner of Pakistan International Airlines has unveiled an ambitious plan to revive and modernize the national carrier by refurbishing aircraft, expanding the fleet with new planes, and significantly improving maintenance standards and flight schedules. The strategy aims to restore operational efficiency, enhance passenger experience, and rebuild confidence in the airline after years of decline.
On December 23, a Pakistani consortium led by the Arif Habib Group acquired a 75 percent stake in PIA for Rs135 billion, equivalent to about $482 million, following multiple bidding rounds. The transaction values the airline at Rs180 billion, or approximately $643 million, marking one of Pakistan’s most significant privatization deals in decades. The move is widely seen as a decisive step to overhaul the struggling carrier, which had accumulated financial losses exceeding $2.8 billion over the years.
Once regarded as one of Asia’s leading airlines, PIA gradually lost its standing due to persistent mismanagement, political interference, overstaffing, mounting debt, and recurring operational failures. These challenges reached a critical point in 2020, when the airline was banned from flying to the European Union, the United Kingdom, and the United States following a pilot licensing scandal. Since then, the lifting of bans by the EU and the UK has provided renewed momentum and opened the door for a broader turnaround.
Outlining the revival strategy, Arif Habib, Chief Executive Officer of the Arif Habib Group, said the company plans to comprehensively upgrade passenger-facing services. This includes modernizing check-in counters, refurbishing aircraft cabins, replacing outdated seating, and installing contemporary in-flight entertainment systems. Alongside these improvements, the new management intends to focus on better maintenance practices, more reliable flight schedules, and gradual fleet expansion to restore PIA’s competitiveness in regional and international markets.
