Expression of Interest Invited for Divestment of PIA Through Privatization

[Abbas Ali]

On June 8, Senate Standing Committee on Defence approved “The Pakistan International Airlines Corporation (Conversion) (Repeal) Bill, 2026”, aimed at facilitating the privatisation process while ensuring that the PIA name and brand identity remain intact.

https://e.thenews.pk/detail?id=487146

[arshad.altaf]

Political considerations and bureaucratic momentum continue to shape the process.

Who knows what else is happening behind closed doors?

[Abbas Ali]

Defence Minister Khawaja Asif presenting "The Pakistan International Airlines Corporation (Conversion) (Repeal) Bill, 2026." in the Senate of Pakistan.

On June 10, Senate of Pakistan passed "The Pakistan International Airlines Corporation (Conversion) (Repeal) Bill, 2026."





[AS PASSED BY THE SENATE]

A Bill to repeal the Pakistan International Airlines Corporation (Conversion) Act. 2016

WHEREAS, it is expedient to repeal the Pakistan International Airlines Corporation (Conversion) Act, 2016 (XV of 2016) in the manner and for the
purposes hereinafter appearing;

It is hereby enacted as follows: -

1. Short title and commencement. - (1) This Act shall be called the Pakistan International Airlines Corporation (Conversion) (Repeal) Act, 2026.

(2) It shall come into force at once.

2. Repeal of Act XV of 2016.- (1) The Pakistan International Airlines Corporation (Conversion) Act, 2016 (XV of 2016), except sub-section
(1) of section 7 is hereby repealed.

(2) Notwithstanding the repeal of the Pakistan International Airlines Corporation (Conversion) Act, 2016 (XV of 2016), the conversion of the
Pakistan International Airlines Corporation into a public company, all orders made, actions taken, arrangements entered into, transfers effected, licenses, permissions, sanctions, authorizations, concessions and approvals granted and all proceedings continued under any of the powers conferred or exercised under the aforementioned Act of 2016, together with any right, privilege, obligation or liability acquired, accrued or incurred thereunder shall be deemed always to have been lawfully and validly made, taken, issued, vested or transferred and
shall continue to be in force.

(3) The particulars mentioned under sub-section (2) or in any other section of this Act shall not prejudice the general application of section 6 of the
General Clauses Act, 1897 (X of 1897).

STATEMENT OF OBJECTS AND REASONS

REPEAL OF PIAC CONVERSION ACT PRIVATIZATION OF PIACL

1. PIACL was corporatised by the Pakistan International Airlines Corporation (Conversion) Act 2016 (XV of 2016). The purpose was to facilitate its privatization.

2. The validity period under PIAC Conversion Act was extended by the Federal Cabinet to 30t June 2026, under which, the 7 immoveable properties were duly transferred from PIACL to PIAHCL vide Gazette Notification dated 6th March 2026.

3. Now, the PIAC Conversion Act has fulfilled its purpose and repeal of the said Act is one of the Conditions Precedent to ensure successful divestment of PIACL.

4. Moreover, the Conditions Precedent have been enshrined under the Cabinet-approved Share Purchase and Subscription Agreement (SPSA), which has been executed by all stakeholders.

5. Therefore, in accordance with the decision of the Federal Government and in compliance with the provisions of the SPSA, the repeal of the said Act is sought through introduction of the Pakistan International Airlines Corporation (Conversion) (Repeal) Act, 2026.


Defence Minister Khawaja Asif presenting "The Pakistan International Airlines Corporation (Conversion) (Repeal) Bill, 2026." in the National Assembly of Pakistan.

On June 11, The National Assembly passed Pakistan International Airlines Corporation (Conversion) (Repeal) Bill, 2026 presented by Federal Minister. The House passed the bill with a majority vote. The bill paved the way for the repeal of the law that facilitated the corporatisation and eventual privatisation of Pakistan International Airlines (PIA).

[Abbas Ali]

President Asif Ali Zardari has approved the Pakistan International Airlines Corporation (Conversion) (Repeal) Bill, 2026.

After the approval of the bill, the legal requirements necessary for the completion of the privatization process of Pakistan International Airlines Company Limited (PIACL) have been fulfilled.

This bill was approved by the Senate on 10 June 2026 and by the National Assembly on 11 June 2026.


https://x.com/PresOfPakistan

“It is a positive development, good for PIA,” Arif Habib, who leads the consortium that bought the airline, told Arab News when asked about enactment of the bill fulfilling conditions for PIA’s privatization.

https://www.arabnews.pk/node/2646880/pakistan

[Abbas Ali]

Cabinet Committee reviews progress on PIA divestment process

June 13, 2026

A meeting of the Cabinet Committee on Privatization chaired by Deputy Prime Minister Ishaq Dar was held in Islamabad.



It reviewed progress on steps required to complete the first closing of the divestment of Pakistan International Airlines Corporation Limited. It considered matters related to the Federal Board of Revenue and requests submitted by the purchaser under the transaction framework.

Necessary decisions were taken to further advance the Privatization process.

https://www.radio.gov.pk/13-06-2026/cab ... nt-process