What Happens to PIA Hotels in New York and Paris After Privatization

Adviser to the Prime Minister on Privatization Muhammad Ali has clarified that Pakistan International Airlines’ hotels in New York and Paris are not part of the airline’s privatization process. Speaking on a private television programme, the privatization adviser said the government’s expectation for the PIA bid was up to Rs. 120 billion, He added that the offer received was better for both the government and the buyer. He said Rs. 125 billion from the transaction will go directly into PIA. Muhammad Ali said that PIA currently has 18 operational aircraft and noted that the government had been trying to privatize the national airline for several years. He added that now that a consortium has successfully emerged, it will not be difficult for it to bring in partners. He reiterated that PIA’s hotels in New York and Paris are not included in the privatization. He said airports in Lahore, Islamabad and Karachi will be offered through open auction. The adviser said the government expects to see further progress on privatization in 2026, adding that privatization would result in higher tax revenues than what the government was earning by running these entities. He also said that meaningful improvement would not be possible without privatizing the energy sector. Expressing satisfaction over the PIA deal, Muhammad Ali said the national airline had been privatised at a good price.