The Pakistani government has agreed to sell the PIA Precession Engineering Complex (PEC) to the Pakistan Air Force (PAF) for a total of Rs6.5 billion. Out of this amount, PAF will pay Rs2.5 billion in cash.
In addition to the purchase price, PAF will also take on pension liabilities of Rs3 billion for retired PEC employees, as well as Rs1.1 billion for the current staff. The deal, which was approved by a ministerial committee, covers the transfer of land, infrastructure, machinery, and human resources associated with PEC.
The agreement marks a significant step in the restructuring of PIA’s assets and the management of its operations. With PAF now responsible for PEC, it will assume control of the engineering complex and its associated resources. The transfer includes not only the physical assets of the PEC but also the staff and pension obligations, which will be handled by PAF going forward.
This decision aims to streamline the operations of both PIA and PAF, as they move forward with their respective priorities. The deal reflects ongoing efforts by the government to optimize its assets and support the operational needs of the country’s armed forces.
The sale is expected to help resolve some of the financial challenges faced by PIA while ensuring the future stability of PEC’s workforce under PAF’s management.
