Pakistan International Airlines (PIA) reported losses totaling approximately Rs500 billion between 2015 and 2023, officials informed the Senate Standing Committee on Privatization on Monday.

Privatization Secretary Usman Bajwa stated that the government opted to privatize the airline because it was sustaining annual losses of nearly Rs100 billion, making continued state ownership financially unsustainable.

Officials highlighted that weak management has been the airline’s main obstacle to profitability, contributing heavily to its financial decline.

The briefing also noted that PIA’s net worth had previously dropped to just Rs9 billion, but a revaluation of its assets raised the airline’s value to around Rs41 billion ahead of the ongoing privatization process.

This disclosure underscores the urgency behind the government’s decision to privatize PIA and restructure its operations to prevent further financial losses.