P.M. BRIEFING : Pakistan Selling Airline Shares
The Pakistan government opened its drive to sell off state-owned enterprises today by offering 10% of its holding in Pakistan International Airlines.
The government, which owns 63.59% of the flag carrier, is offering 27.4 million shares valued at $12.5 million to resident and non-resident Pakistanis and PIA workers.
The offering is the opening shot of a government effort to raise funds through privatization that was supposed to have netted $68 million in the year to June.
Officials, acknowledging the target was missed, said they had underestimated the complexity of setting up a statutory framework for utilities, like gas distribution companies, before floating them.
PIA Managing Director Arif Ali Khan Abbasi said he is delighted that the airline, which operates a fleet of 40 aircraft, has been chosen to lead the disinvestment drive. “It is also good because it also encourages participation and involvement of the staff, who will now feel more responsible,” he said.
Start your day right
Sign up for Essential California for news, features and recommendations from the L.A. Times and beyond in your inbox six days a week.
You may occasionally receive promotional content from the Los Angeles Times.
