ISLAMABAD (Kashmir English): The government has come up with major tax incentives for facilitating the privatization process at the Pakistan International Airlines PIA, trying to revive the struggling entity that has suffered losses amounting to Rs500 billion since 2015, Privatisation Adviser Muhammad Ali said on Wednesday.
Addressing the gathering alongside the country’s Information Minister, Attaullah Tarar, Ali provided a historical backdrop on the decline of the airline’s performance during the previous 15 years and the losses it has suffered because of the mismanagement of major political
The airline was making profits between 1989 and 2009 but faced financial troubles starting in 2010, with a loss of Rs108 billion in 2022-23 during the PDM regime.
This came after a press briefing, which followed the government’s sale of a 75% stake in PIA for Rs10.2 billion cash.
The newly formed conglomerate has a total asset base of Rs191.2 billion and a liability of Rs182.1 billion with a positive equity of Rs9.1 billion, headed by Arif Habib Corporation Limited.
The investors have been given an exemption from GST and income tax on dividends for a period of 15 years, while imports of fuel and airplanes will remain tax-free.
