The Khyber Pakhtunkhwa (KP) government has expressed a strong interest in acquiring Pakistan International Airlines (PIA), planning to outbid the current offer of Rs10 billion by the Blue World City consortium. However, the Punjab government announced it has no intentions of purchasing the airline, with Punjab Information Minister Azma Bokhari clarifying that Punjab CM Maryam Nawaz never discussed a PIA acquisition. Despite this, KP CM Ali Amin Gandapur remains determined, stating that KP can meet the financial demands of acquiring PIA, even if the provincial government’s financial health is in question.
Former PM Nawaz Sharif reportedly advised Maryam Nawaz on potentially launching Air Punjab to offer international services. Federal Minister Aleem Khan expressed support, suggesting that both KP and Punjab’s interest in PIA could lead to new frameworks to manage the airline’s Rs830 billion debt for smoother privatization. Khan noted that Rs600 billion of this debt has been placed in a holding company, and Rs200 billion would transfer to a private buyer under a new deal.
Meanwhile, KP’s Board of Investment and Trade (KP-BOIT) confirmed a formal proposal for PIA acquisition, ensuring their intent to run PIA professionally and maintain its status as a national asset.
Key Points of PIA Acquisition Interest
| Province | Position | Plans/Intentions |
|---|---|---|
| Khyber Pakhtunkhwa | Determined to Outbid Blue World City | CM Gandapur stated KP would go to “any extent” to acquire PIA and run it as government property |
| Punjab | No Intent to Buy PIA | Punjab government clarified that they won’t pursue PIA acquisition; former PM Sharif suggested Air Punjab |
| Federal Government | Supportive of Provincial Interest | Federal Minister Aleem Khan welcomed KP and Punjab’s interest, proposing debt restructuring for privatization |
Federal Plan and KP Commitment
Federal Minister Khan praised KP’s interest in acquiring the national airline, emphasizing the benefits of local investment in PIA. He noted that KP’s revenue growth and provincial support from overseas Pakistanis could make the acquisition feasible