In a seemingly unsavory development, the Khyber Pakhtunkhwa (KP) government has written another letter to Minister for Privatization Abdul Aleem Khan, telling him that it wants to participate in the sell-off bid of national flag carrier, Pakistan International Airlines (PIA). According to media reports, KP Board of Investment and Trade Vice Chairman Hassan Masood Kunwar has written a letter to the privatisation minister.
The letter has mentioned that the board is now seeking an update on the matter. The KP government has reportedly said, among other things, that it is fully committed to revitalising the once prosperous image of the PIA. “The province’s trade and investment body remains ready to engage at your earliest convenience, prepared to elaborate on our strategic vision and our readiness to present a competitive and compelling bid that reflects our commitment to Pakistan’s aviation sector and the fact that the KP is one of the stakeholders in PIA, being part of the federation,” according to the KP.
The forgoing clearly suggests that the KP government is seeking to buy the airline through its own resources. Although the intent is pious and praiseworthy, the question is whether the terrorism-hit province has the required capacity, capability and resources to first outbid the other competitors, if any, and then successfully run it.
That the revival of beleaguered airline is no longer possible is a grim reality. The lack of interest demonstrated by the prospective investors in it says it all. The Punjab government, which is run by PML-N, too, had made a similar announcement but it backed out in no time, although the financial position of this province is far better than KP’s.
In my view, the PTI’s government in KP has made its point by checkmating the Punjab government. It now must revisit its decision with regard to PIA. Needless to say, all the ailing SOEs (state-owned enterprises), including PIA, must be privatized without any further loss of time.
Tehsin Javed (Lahore)
Copyright Business Recorder, 2024