‘White elephant’ PIA has cost national kitty Rs830bn, says Aleem Khan

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Privatisation Min­ister Abdul Aleem Khan and Commerce Minister Jam Kamal inaugurate the 9th Pakistan Footwear, Material and Machinery Show in Lahore on Aug 11, 2024. — PID
Privatisation Min­ister Abdul Aleem Khan and Commerce Minister Jam Kamal inaugurate the 9th Pakistan Footwear, Material and Machinery Show in Lahore on Aug 11, 2024. — PID

LAHORE: Privatisation Min­ister Abdul Aleem Khan on Sunday termed the national flag carrier “a white elephant”, claiming it had caused a loss of Rs830 billion to the national exchequer, so far.

Speaking at a footwear exhibition in Lahore, he said that Pakistan International Airlines (PIA) was a burden on the government, but was quick to point out that the process of its privatisation was progressing smoothly.

“Private firms are taking interest in the privatisation of PIA,” he said. In reply to a question, Mr Khan said that six Pakistani companies interested in PIA have joint ventures with international firms from Malaysia, Turkiye and UAE. He alluded to Oct 1 as being a key date, saying that once the process was completed, Pakistanis would get an airline of international standards.

He praised the Pakistan Footwear Association for developing good ties with global brands and said that increasing the number of trade officers in foreign missions would help the country establish connections in terms of business-to-business activities.

Jam Kamal rejects concerns over security, says firms wouldn’t invest if things were really that bad

Aleem Khan said it was the government’s job to facilitate the business community, adding that it was high time for businessmen to grab opportunities as manufacturers were moving out from China and going to other places, like Taiwan, Bangladesh etc.

Security concerns

In his remarks at the same event, Commerce Minister Jam Kamal admitted that managing energy prices was a key concern for the government, adding that it was making efforts in this regard.

According to a statement, he said that the energy crisis would have to be dealt with for the promotion of commercial activities, which ease of business and issues related to FBR also had to be resolved.

However, he took issue with the impression that an uncertain security situation was turning investors away from the country.

“Yesterday I was in Karachi at a food and agriculture expo in which more than 800 delegates from 75 countries are participating including Europe and others while the Chinese delegation is the largest with 150 members taking part,” he said, and asked if the situation of Pakistan is so bad then why international delegates are taking parts in the expo being held in Pakistan?

He said the security situation in the country is improving with each passing day and it is not like what is being portrayed by some media outlets. “The security situation in Balochistan is not the worst as is being propagated. Had there been such a situation, the pledge of $70 billion in Balochistan would not have been made by investors,” Mr Kamal said.

Published in Dawn, August 12th, 2024

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