Successful PIA privatisation sends strong signal to global investors: Aurangzeb

Finance Minister Muhammad Aurangzeb has said that the successful privatisation of Pakistan International Airlines (PIA) has injected fresh momentum into Pakistan’s long-stalled privatisation drive, as visible interest from local investors has helped attract the attention of foreign partners and reposition the country as a viable investment destination.

Talking to state media from Davos, he is attending the World Economic Forum Annual Meeting (WEF), Aurangzeb said that he met with his Saudi Arabian and UAE counterparts, describing both countries as long-standing partners of Pakistan.

“They have lauded the privatisation programme,” he said.              

The finance minister noted that Pakistan’s privatisation programme, which had remained largely dormant for nearly a decade, has now gained momentum. He emphasised that attracting foreign investment remains difficult in the absence of meaningful local investor participation.

“The recent PIA privatisation has ticked a lot of boxes, as participation by two large local conglomerates has sent a strong signal to the international investment community,” he said.

Last month, a consortium led by Arif Habib Corporation Limited (AHCL) emerged as the winning bidder for the acquisition of a 75% stake in PIA, submitting a top bid of Rs135 billion, which was well above the government’s initial minimum price of Rs100 billion and the base price of Rs115 billion, at which the auction began.

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Meanwhile, Aurangzeb said that this renewed confidence among local investors is expected to pave the way for increased foreign investment across key sectors, including agriculture, information technology, and mining, with significantly higher investment flows anticipated in the period ahead.

“We will see a lot more investment coming in,” he said.

Aurangzeb stated that the government’s current engagement strategy at the WEF focuses on strengthening confidence among existing investors across Pakistan’s major economic sectors, alongside outreach to potential new investors.

In this regard, the prime minister will hold roundtable meetings with global investors involved in IT, AI, mining, and other priority sectors, with the government signalling its readiness to provide support and assistance, Aurangzeb shared.

The finance minister maintained that many of the structural challenges faced in the past have largely been addressed, and Pakistan is now positioned to move forward in a more decisive and scalable manner

“Pakistan is ready for business,” he said.