Uncontested Bid in PIA's Privatisation as Concerns Loom

The privatisation of Pakistan International Airlines proceeds with just one participant, Blue World City, placing a bid. Concerns about governmental policy continuity and past broken agreements have deterred other pre-qualified bidders. The privatisation aims to fulfill IMF program requirements amidst Pakistan's fiscal constraints.

The final bidding process for the privatisation of Pakistan International Airlines commenced with only one participant, Blue World City, making a bid on Thursday at an Islamabad hotel ceremony.

Pakistan, grappling with severe financial issues, is endeavoring to sell between 51% and 100% of debt-laden PIA as part of a $7 billion IMF reform initiative. The bid opening is scheduled for 6:30 p.m. local time.

Out of six pre-qualified groups from June, only Blue World City submitted the necessary documents before the deadline. Other groups expressed concerns about policy reliability and investment risks after recent government contract terminations and renegotiations, including power purchase agreements.

(With inputs from agencies.)