From January to June this year, Pakistan International Airlines (PIA), grappling with financial troubles, ranked fifth in punctuality among domestic flights, as reported by the Civil Aviation Authority (CAA) punctuality report. This ranking sheds light on the mismanagement within the national flag carrier’s administration and the impact of its ongoing financial crisis. PIA’s domestic flights had a departure punctuality rate of 58.24%.
The top four positions in punctuality were secured by private airlines, which displayed notably better on-time departure and arrival performance compared to PIA. Fly Jinnah, a private airline, claimed the first position with an impressive 87.93% punctuality rate for its flights. Air Sial secured the second position with an 86.89% punctuality rate, followed by Airblue in third place with 78.36%, and Serene Airlines in fourth place with 62.7%. It’s noteworthy that no Pakistani airline achieved a 100% on-time departure and arrival rate.
PIA’s financial challenges have taken a toll on its operations, with the airline reporting a substantial loss of Rs60.71 billion in the first half of 2023, as indicated in its financial report for the year. This loss represents a significant increase compared to the Rs41.31 billion loss recorded during the same period the previous year.
Several factors have contributed to these financial woes. The depreciation of the Pakistani rupee led to a loss of Rs27.45 billion in the first six months of 2023, compared to a Rs13.85 billion loss due to currency exchange rates during the same period in 2022. Additionally, the cost of fuel and oil amounted to Rs48.34 billion in the first half of 2023, compared to Rs30.78 billion during the same period the previous year. The cost of finance also saw an increase, reaching Rs36.82 billion in the first half of this year, compared to Rs21.11 billion during the same period last year. These financial challenges have not only impacted PIA’s punctuality but also its overall financial health and sustainability.
