Pakistan’s government is planning to handover the control of its national carrier to the Arif Habib Group-led consortium by the end of this month, as the South Asian nation moves to meet a key International monetary Fund condition of selling its stakes in state-owned firms, according to Bloomberg.
“End of April is the target and we are working on meeting all the conditions” for handing over the management control of Pakistan International Airlines Corp, said Muhammad Ali, adviser to Prime Minister Shehbaz Sharif on Privatisation, in an interview on Tuesday. However, he said, timeline to handover the control in the carrier may be moved ahead by a week or two because of the US-Iran war.
Pakistan’s leading businessman Arif Habib-led group won a 75 per cent stake in the national flag carrier for 135 billion rupees ($484 million) in Dec., in a bid to take control of the airline struggling for decades with operational inefficiencies, an aging fleet, losses and political intervention. The bidding group also includes Fatima Fertilizer Co, Fauji Fertilizer Co and AKD Group.
The government is awaiting its offer to the group to buy its remaining 25 per cent stake, he said.The Privatisation Commission, the asset sale agency, plans to seek bids this month to sell its stakes in power distribution companies including Gujranwala Electric Power Co and Islamabad Electric Supply Co.
“We have been working on the power distributors for the last six months,” he said. “It is challenging but we are heading in the right direction.”The sale of stakes is part of a broader reforms programme that Pakistan is following tied to the IMF’s loan programme.
