ISLAMABAD: The Supreme Court of Pakistan has lifted its stay order, allowing the government to resume the privatisation process for Pakistan International Airlines (PIA).
A constitutional bench led by Justice Aminuddin Khan heard the case regarding PIA’s privatisation on Thursday. During the proceedings, the additional attorney general (AAG) informed the court that the privatisation process had been initiated under previous court directives, which also permitted the hiring of new professionals for the airline. However, recruitment efforts had been stalled due to the privatisation plan.
The AAG further revealed that restrictions on PIA’s flight operations have been lifted, enabling the airline to operate without hindrances. Justice Aminuddin noted that proceeding with the privatisation now could result in a higher valuation for the airline.
Justice Jamal Khan Mandokhail, however, raised concerns about maintaining transparency, reminding the government of a prior Supreme Court order requiring the process to be conducted openly and with the court’s confidence. The AAG reassured the bench, stating that an application had been submitted to ensure the court’s oversight and confidence in the process. Justice Mandokhail emphasized the need for the privatisation to be carried out efficiently and in good faith.
Following these deliberations, the court dismissed the petition and withdrew its earlier directive that had paused the privatisation process.
PIA’s Road to Privatisation
The federal government had faced challenges in its bid to privatise PIA after receiving a single bid that fell short of expectations, prompting a reevaluation of the process.
In a related development, the European Union has lifted its four-year ban on PIA flights to European destinations, offering a much-needed boost to the airline’s operations and market prospects.
