ISLAMABAD: The commercial debt negotiations of Pakistan International Airlines Corporation Limited (PIACL) have been successfully concluded among the government, domestic lender banks and Development Finance Institutions (DFIs) as part the entity’s restructuring for privatization.

A statement issued by the PIACL on Friday said the step paved the way for filing of the Scheme of Arrangement (SOA) for legal segregation of PIACL with Securities and Exchange Commission of Pakistan on Thursday. The federal cabinet had approved the legal segregation plan of PIACL on February 6, 2024.

PIACL’s privatisation has been a priority agenda for the federal government, and above developments represent one of the most complex restructuring exercise undertaken to prepare PIACL for privatisation. This arrangement will help make a viable business case for private sector investment in the national carrier.