Pakistan International Airlines (PIA) has chosen former Ethiopian Airlines Chief Executive Officer Tewolde Gebremariam as its next CEO, a key appointment aimed at steering the airline’s recovery after its privatisation.

The appointment is awaiting mandatory security clearances before an official announcement is made, according to officials.

A senior PIA official confirmed the decision, while a major shareholder said Tewolde was selected for his extensive aviation experience and proven ability to transform struggling airlines.

Tewolde is widely credited with turning Ethiopian Airlines into Africa’s largest carrier by rapidly expanding its global route network, modernising operations and establishing Addis Ababa as one of the continent’s leading aviation hubs.

His selection comes shortly after the completion of the first phase of PIA’s privatisation, which transferred management control of the airline to a consortium led by Arif Habib Corporation after all conditions of the Share Purchase and Subscription Agreement (SPSA) were met.

Under the first closing, the consortium paid Rs10 billion to the government as the initial sale consideration and injected Rs80 billion into PIA to strengthen its balance sheet, renew its fleet, expand destinations and improve operational efficiency.

The consortium has committed a total investment of Rs180 billion, comprising Rs55 billion for the acquisition of a 75 percent stake and Rs125 billion in fresh capital to support the airline’s long-term restructuring and growth.

The second closing is scheduled within the next 12 months, when the consortium will inject an additional Rs45 billion into PIA. It has also exercised its option to acquire the remaining 25 percent stake for another Rs45 billion, subject to the terms of the SPSA.

Industry observers expect Tewolde’s leadership to be pivotal in implementing the new owners’ turnaround strategy, improving PIA’s financial and operational performance, and rebuilding its presence in regional and international markets.