Banks Approve Rs 18 Billion Short-Term Loan for PIA Amid Privatization Plans
In some positive news for the cash-strapped national airline, banks have approved a short-term loan of Rs 18 billion for PIA. This comes as the government moves ahead with plans to privatize the airline.
Sources reveal that the loan, granted for 7-10 days, will allow PIA to make its most pressing payments and restore normal operations after recent disruptions.
The funds will also facilitate the addition of two grounded Boeing 777s back into PIA’s fleet by this evening. The aim is to keep PIA functional until the privatization process concludes.
PIA’s Roosevelt Hotel in the US is also reportedly included in assets set for privatization. A committee under Minister Fawad Hasan Fawad has been constituted to oversee PIA’s privatization.
While the loan provides temporary relief, PIA’s long-term revival requires far-reaching restructuring and change in management. Privatization, though controversial, may improve efficiency, services, and financial health.
For now, the approved funds will allow PIA to make urgent payments to suppliers and employees and continue operations. The loan demonstrates banks’ confidence in PIA’s future after privatization.
