Pakistan’s privatization chief vows faster asset sales, says PIA to be sold by year-end

Pakistan’s privatization chief vows faster asset sales, says PIA to be sold by year-end
Passengers board a Pakistan International Airlines (PIA) flight, the first commercial international flight since the Taliban retook power last month, at the airport in Kabul on September 13, 2021. (AFP/ file)
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Pakistan’s privatization chief vows faster asset sales, says PIA to be sold by year-end

Pakistan’s privatization chief vows faster asset sales, says PIA to be sold by year-end
  • Pakistan has been attempting to privatize debt-ridden PIA to raise funds, reform state-owned enterprises
  • Muhammad Ali says Islamabad hiring sector specialists, lawyers, mergers and acquisitions experts to aid in privatizations

ISLAMABAD: Pakistan’s privatization chief Muhammad Ali announced on Monday that the government aims to complete the sale of Pakistan International Airlines (PIA) by the end of this year, part of a sweeping new privatization program backed by what he called “the highest level of commitment.”

Pakistan’s government has been attempting to privatize the debt-ridden PIA to raise funds and reform state-owned enterprises as envisaged under a $7 billion International Monetary Fund (IMF) program secured last year. Late last year, a deal fell through after a potential buyer reportedly offered $36 million for a 60 percent stake in the national flag carrier, a fraction of the asking price of approximately $303 million.

In July, Pakistan prequalified four investors for the sale of PIA. Among the bidding groups, one is a consortium of major industrial firms Lucky Cement, Hub Power Holdings, Kohat Cement and Metro Ventures. Another is led by investment firm Arif Habib Corp. and includes fertilizer producer Fatima Fertilizer, private education operator The City School, and real estate firm Lake City Holdings. Additionally, Fauji Fertilizer Company, a military-backed conglomerate, and Pakistani airline Airblue, have been approved to bid for PIA.

“We are targeting that we should privatize the PIA before the end of the year,” Ali told reporters at a news conference, flanked by Finance Minister Muhammad Aurangzeb and other members of the government’s economic team.

Ali vowed that the government was dedicated to completing the privatization process quickly, stating that it was hiring sector specialists, lawyers, mergers and acquisitions experts and investment bankers to facilitate transactions.

He said the government had divided the process to privatize state-owned entities into three phases, adding that it had completed all three. Ali said the government was working on several transactions at a time, explaining that it had to consider the market, investors’ appetites, their interest and the health of the companies at stake.

“Keeping all these things in mind, we are working on privatization as fast as we can, at full speed,” he said.

Ali mentioned that the government had sold the state-owned First Women Bank to a UAE group for Rs5 billion [$17.5 million], which had a total equity of Rs3 billion [$10.5 million]. 

The official spoke of the government’s privatization efforts regarding the state-owned House Building Finance Corporation, saying its privatization process had been underway for the past two years. He disclosed that the government was in discussions with an entity regarding its sale. 

“We are getting offers from them. This is a negotiated sale,” Ali said. “And if we get our valuation in this, then we will go ahead in this.”

DISCOS, ROOSEVELT HOTEL

Ali spoke about the privatization of power distribution companies (DISCOs), saying that the government would be careful in their sale as it would affect “every Pakistani.”

“So we have to be sure that when we sell them, we sell them in a way that in the coming times, there is power supply in every area,” he said. “There is less load shedding and power is supplied at the right cost. So, we have made a restructuring plan of all three DISCOs.”

About Pakistan’s plan to sell its Roosevelt Hotel in New York, Ali mentioned that Jones Lang LaSalle (JLL), Islamabad’s financial adviser for the process, had stepped down due to conflict of interest. 

“Now that we are going to appoint a [new] adviser, many top names globally have participated in it,” the official said. “Citibank, Morgan Stanley, Cushman and Wakefield, CBRE and Newmark. These are the top names in New York market and they are now interested in advising the Pakistan government.”

The official clarified that Islamabad did not want to sell its airports in the major cities of Karachi, Lahore and Islamabad, saying that authorities were engaging the private sector to manage them. 

“In Islamabad, we are talking to the UAE,” he said. “In Karachi and Lahore, we will go to bidding.”


Pakistan president to outline social protection, green jobs plan at Doha UN summit

Pakistan president to outline social protection, green jobs plan at Doha UN summit
Updated 03 November 2025

Pakistan president to outline social protection, green jobs plan at Doha UN summit

Pakistan president to outline social protection, green jobs plan at Doha UN summit
  • Zardari to meet world and regional leaders, including Qatari leadership and UN officials
  • Pakistan to present new 2026–28 Social Protection and Jobs Compact aligned with UN goals

ISLAMABAD: Pakistan’s President Asif Ali Zardari will outline his country’s plan to expand social protection and promote green employment at the Second World Summit for Social Development in Doha this week, state broadcaster Radio Pakistan reported on Monday.

The three-day summit from Nov. 4-6, organized under the auspices of the United Nations General Assembly, brings together world leaders and policymakers to discuss strategies for advancing social development, promoting decent work, and strengthening inclusive safety nets.

Pakistan’s participation highlights its efforts to align domestic initiatives like the Benazir Income Support Program (BISP), the country’s flagship cash-transfer initiative for low-income households, with the Sustainable Development Goals (SDGs), as the country seeks to integrate employment and climate considerations into its social protection agenda.

“The President will underscore Pakistan’s commitment to inclusive growth and social protection, with the Benazir Income Support Program at the center of efforts to reduce poverty and build resilience among vulnerable groups,” Radio Pakistan reported.

According to the broadcaster, Zardari will hold meetings with global and regional leaders, including the leadership of Qatar, as well as heads of multilateral organizations such as the United Nations and other international bodies.

During these discussions, he is expected to emphasize Pakistan’s readiness to pilot a Doha-aligned Social Protection and Jobs Compact (2026–28), aimed at expanding coverage to informal workers, persons with disabilities, and children while promoting decent and green employment.

The initiative aligns with the Doha Political Declaration and international commitments on social protection and financing for development.

Zardari will also highlight Pakistan’s intent to work with development partners to mobilize funding through mechanisms such as the SDG Stimulus, debt-for-social or climate swaps, and South–South cooperation under China’s Global Development Initiative (GDI).

Radio Pakistan said the president will reaffirm Pakistan’s resolve to translate the outcomes of the Doha Summit into concrete actions that strengthen social protection systems and support sustainable, inclusive economic growth.


Saudi flyadeal launches Lahore flights, expands Pakistan network to five cities

Saudi flyadeal launches Lahore flights, expands Pakistan network to five cities
Updated 03 November 2025

Saudi flyadeal launches Lahore flights, expands Pakistan network to five cities

Saudi flyadeal launches Lahore flights, expands Pakistan network to five cities
  • Twice-weekly Lahore flights bring flyadeal’s Pakistan network to five cities, 18 weekly services
  • Expansion aligns with Saudi Vision 2030 goals to boost tourism and regional connectivity

ISLAMABAD: ’s low-cost airline flyadeal has launched scheduled flights to Lahore, its fifth destination in Pakistan this year, as part of a rapid regional expansion plan aligned with the Kingdom’s Vision 2030 strategy to boost connectivity and tourism.

A subsidiary of the national carrier Saudia, flyadeal has become one of the Middle East’s fastest-growing airlines since its launch in 2017. The Lahore route adds to services to Karachi, Islamabad, Peshawar and Sialkot, all introduced since February 2025, bringing the total number of weekly flights between the two countries to 18.

Flight F3 655 from Riyadh’s King Khalid International Airport landed at Lahore’s Allama Iqbal International Airport last week where it was greeted with a water-cannon salute and a ceremony attended by airport and airline officials.

“It’s been an incredible achievement to build a countrywide operation from one to five cities across Pakistan in just eight months,” said Steven Greenway, flyadeal’s Chief Executive Officer.

“Entering any market is always a baby-step process. But our operational and commercial teams have done an impressive job to plan, launch, expand and set up the necessary infrastructure so quickly to sell, market and promote our flights in a short space of time.”

Tickets for flyadeal’s Pakistan services are available via the airline’s website, mobile app and partner travel agencies, the company said.

Farooq Ahmad, flyadeal’s Head of Sales, said:

“Pakistan has proved to be one of flyadeal’s success stories. We’ve matured very quickly in a country building confidence within the travel agency community to sell, and among consumers to fly with us especially being a relatively new entrant to a dynamic market that Pakistan is.”

The twice-weekly Lahore flights will serve both inbound business travelers and outbound Pakistani expatriates working in the Kingdom. All Pakistan routes are operated with Airbus A320 aircraft configured with 186 Economy Class seats.

flyadeal currently flies 42 A320s from bases in Riyadh, Jeddah and Dammam to more than 30 destinations across the Middle East, North Africa, Europe and South Asia.

Under Saudi Vision 2030, the airline plans to triple its network to over 100 destinations with a fleet exceeding 100 aircraft by 2030.


Pakistan’s competition watchdog urges creation of steel ministry to reform struggling sector

Pakistan’s competition watchdog urges creation of steel ministry to reform struggling sector
Updated 03 November 2025

Pakistan’s competition watchdog urges creation of steel ministry to reform struggling sector

Pakistan’s competition watchdog urges creation of steel ministry to reform struggling sector
  • CCP cites lack of national policy, weak regulation and tax exemptions hurting competitiveness
  • Recommends new ministry, formalization of undocumented units, adoption of green technologies

KARACHI: The Competition Commission of Pakistan (CCP) has called for the establishment of a dedicated steel ministry and the formulation of a national policy to address long-standing distortions in the country’s steel industry, which it says faces weak regulation, unfair tax exemptions and heavy import dependence.

The steel sector remains central to Pakistan’s manufacturing base, contributing significantly to exports and employment but struggling with fragmentation and policy neglect. Large Scale Manufacturing accounts for more than 69 percent of total manufacturing and 8.2 percent of GDP, yet per capita steel consumption is only 47 kilograms, far below regional averages. The industry depends heavily on imported scrap, faces chronic energy shortages and produces nearly 60 percent of its output below standard due to weak enforcement and regulatory oversight.

In light of these challenges, the Competition Commission of Pakistan on Sunday released a report titled “Competition Assessment Study of the Steel Sector in Pakistan,” identifying competition-related bottlenecks and recommending reforms to promote fair market conditions and long-term sustainability.

“The study underscores the absence of a national steel policy and recommends the establishment of a dedicated Steel Ministry, citing successful models from China and India,” the CCP said in the statement.

According to the report, Pakistan’s manufacturing sector contributes 71 percent of total exports and employs around 15 percent of the workforce. In FY24, local steel production reached 8.4 million metric tons (MT), including 4.9 million MT of long steel and 3.5 million MT of flat steel, while imports of steel scrap totaled 2.7 million MT, underscoring the sector’s reliance on imported raw material.

The report said Pakistan Steel Mills (PSM), once a strategic national asset with a 1.1 million-ton annual capacity, has been non-operational since 2015 due to mounting losses and outdated technology, leaving liabilities of Rs400 billion ($1.4 billion). In contrast, countries such as China, India, and Russia advanced through targeted state support, investment in technology, and efficient resource management.

The CCP cited multiple institutional weaknesses, including an Ease of Doing Business Committee that lacks industry expertise and frequent changes in SROs that create policy uncertainty. It noted that tax exemptions in ex-FATA/PATA regions allow 1.5 million tons of untaxed steel to enter settled markets annually, resulting in revenue losses of about Rs40 billion ($144 million).

The commission proposed developing a comprehensive national steel policy, rationalizing taxes and ensuring stable regulatory frameworks. It also recommended expanding the Ease of Doing Business Committee to include industry experts and CCP representation, strengthening the Ministries of Industries and Commerce, and accelerating National Tariff Commission (NTC) processes.

The CCP urged enforcement of quality standards, formalization of undocumented producers, removal of tax distortions, and incentives for Direct Reduced Iron (DRI) technology, green production methods and local iron ore mining.

“The CCP will continue working with all the stakeholders to develop pro-competition reforms to promote competition and long-term sustainability in the steel sector, much in line with the international best practices,” the statement added.


Pakistan government confirms talks with coalition allies on new constitutional amendment 

Pakistan government confirms talks with coalition allies on new constitutional amendment 
Updated 30 min 49 sec ago

Pakistan government confirms talks with coalition allies on new constitutional amendment 

Pakistan government confirms talks with coalition allies on new constitutional amendment 
  • Minister Aqeel Malik says proposed 27th amendment aims to address “unfinished agenda” of earlier judicial reforms
  • Government discussing creation of constitutional courts and review of provinces’ share in federal funds, minister says 

ISLAMABAD: Pakistan’s State Minister for Law Aqeel Malik confirmed on Monday that the government is discussing a new constitutional amendment with coalition partners, saying the plan includes creating a constitutional court and revising the federal role in education and population planning.

Constitutional amendments in Pakistan require two-thirds approval in both houses of parliament and have historically been used to redefine the balance of power between the legislature, judiciary and provinces. The proposed 27th amendment follows the 26th constitutional amendment, passed in October 2024 amid stiff resistance from opposition parties and the legal fraternity. That measure empowered parliament to appoint the Supreme Court’s chief justice for a fixed term and created a new panel of senior judges to hear constitutional cases, changes critics say have weakened judicial independence.

Pakistan’s constitution, adopted in 1973, has been amended more than two dozen times, often reflecting the country’s shifting balance among civilian governments, the military and the judiciary. Provisions such as the National Finance Commission (NFC) award, which governs how federal revenue is shared among provinces, are especially sensitive because they underpin Pakistan’s federal structure and provincial autonomy.

In a post on X on Monday, Pakistan Peoples Party (PPP) Chairman Bilawal Bhutto Zardari, a major coalition partner, said Prime Minister Shehbaz Sharif’s ruling Pakistan Muslim League-Nawaz (PML-N) had approached his party for support in passing the 27th amendment. He said the proposals included creating constitutional courts, restoring executive magistrates, amending Article 243, which defines the command and control of the armed forces, removing protection for provinces’ share in the NFC and returning education and population planning to the federation.

“These discussions with the passage of time keep on happening and whatever improvement is required in the law and the constitution, work is done in this regard,” Malik told a private news channel when asked about Bhutto Zardari’s X post. 

He said the law ministry was not currently drafting text for the 27th amendment but described the creation of constitutional courts as an “unfinished agenda” of the 26th amendment that now needed to be addressed. 

Malik backed granting magisterial powers to the executive, saying such a change could ease the judiciary’s workload in handling minor offenses and price-control cases.

The minister also confirmed the government was consulting the PPP on proposals to return population and education planning to the federation. 

“I think we should take a national, cohesive approach related to population,” Malik said. “Every year there is a manifold increase in your population so I believe it needs a federal approach.”

He added that Pakistan lacked consistency among provinces in education quality and curriculum, which justified a stronger federal role. 

On Article 243, Malik said the prime minister’s recent promotion of the army chief to field marshal “has to be addressed in the constitutional scheme of things.”

The promotion of army chief General Asim Munir in May 2025, following a brief military standoff with India, made him only the second officer in Pakistan’s history to hold the rank, a move widely viewed as reinforcing the military’s institutional influence.

Regarding the NFC award, the minister said the government was building political consensus to review the formula for distributing funds among provinces.

Bhutto Zardari has said his party’s Central Executive Committee will meet on Nov. 6 to decide its position on the 27th amendment proposals.

Legal experts say that if passed, the amendment could significantly alter Pakistan’s power structure, reshaping how judges are appointed and how provincial funding is allocated, issues central to the country’s governance and political stability.
 


Lahore tops global pollution charts as Pakistan’s smog crisis persists

Lahore tops global pollution charts as Pakistan’s smog crisis persists
Updated 03 November 2025

Lahore tops global pollution charts as Pakistan’s smog crisis persists

Lahore tops global pollution charts as Pakistan’s smog crisis persists
  • Punjab’s capital Lahore records Air Quality Index of 401, categorized as “hazardous” by Swiss monitoring group IQAir
  • Triggered by crop burning, vehicular emissions and industrial pollution, smog frequently envelopes Lahore during winters

ISLAMABAD: Pakistan’s Lahore once again topped global pollution charts on Monday, with toxic smog in the eastern Punjab province showing no signs of letting up.

Lahore and other plane areas of Pakistan’s Punjab province are prone to thick smog every winter as cold, heavy air traps construction dust, vehicle emissions and smoke. The smog crisis, which is spurred by crop burning, vehicle emissions and industrial pollution every winter, threatens public health and daily life.

According to Swiss monitoring group IQAir, Lahore topped the list of most polluted cities in the world on Monday around 10:00 am, with its Air Quality Index (AQI) measured at a “hazardous” level of 401. India’s capital Delhi followed behind at number two with an AQI of 262 while Pakistan’s commercial hub Karachi ranked at number four with an AQI of 165. 

Lahore recorded a PM2.5 of 276 µg/m³. The PM2.5 refers to floating particulate matter in the air measuring 2.5 micrometers in diameter or less that can be absorbed into the bloodstream upon inhalation.

“PM2.5 concentration is currently 55.2 times the World Health Organization annual PM2.5 guideline value,” IQAir said regarding the air quality in Lahore. 

Smog season begins in late October and peaks from November to January, lasting through February.

Earlier in October, the Punjab government conducted its first anti-smog gun operation, which helped lower the city’s unhealthy air quality levels. Anti-smog trucks sprayed fine water mist across the city to help settle dust and pollutants.

Smog can cause sore throats, eye irritation and respiratory illnesses, while long-term exposure increases the risk of stroke, heart disease and lung cancer. In the past, it has triggered lockdowns, hampered economic activities and resulted in the closures of schools and offices in Lahore and Punjab.