Pakistan To Sell PIA Under IMF Pressure; Army-Linked Fauji Foundation Among Bidders

Under pressure from the International Monetary Fund (IMF) to rein in spending and reform its collapsing economy, Pakistan has moved ahead with the privatisation of its loss-making flag carrier, Pakistan International Airlines (PIA). Among the four entities shortlisted to bid is Fauji Fertiliser Company Limited, part of the powerful, military-run Fauji Foundation.

Prime Minister Shehbaz Sharif announced on Wednesday that PIA’s bidding will take place on December 23, 2025, and will be broadcast live across all media. He met representatives of the pre-qualified bidders in Islamabad.

Last month, Pakistan’s Privatisation Minister Muhammad Ali told Reuters that the government aims to raise PKR 86 billion in privatisation proceeds this year. Under the proposed structure, 15% of the proceeds from the previous bidding round were to go to the government, with the remaining funds retained within PIA.