ISLAMABAD: The Pakistan government has delayed the auction of national carrier Pakistan International Airlines for the third time with no new date announced as potential bidders seek more time and information to assess the airline, a spokesman for the privatization ministry said on Friday.
The disposal of the flag carrier is a step that past elected governments have steered away from as it is likely to be highly unpopular, but progress on privatization is a precondition for cash-strapped Pakistan for an IMF bailout agreement approved this week.
The government announced in June it had selected six companies qualified to bid for PIA out of a pool of eight after receiving expressions of interest. The initial plan was to finalize the deal to sell PIA on the country’s Independence Day, Aug. 14, but the plan was delayed following requests from bidders who were waiting for the airline’s latest audited accounts, aircraft lease agreements and clarity on flights to Europe, which are currently banned. This was followed by September and October dates for the auction, but those have also not materialized.
Pakistan plans to sell more than 51 percent of its stake in the loss-making airline as part of the economic reforms suggested by the IMF which approved a long-awaited 37-month $7 billion bailout deal on Wednesday that will require “sound policies and reforms” to strengthen macroeconomic stability and address structural challenges alongside “continued strong financial support from Pakistan’s development and bilateral partners.”
“Bidding is postponed but no new date is given officially,” Dr. Ahsan Ishaq, a spokesperson for privatization ministry, told Arab News on Friday.
He said the ministry had received “no official reason” from the bidders to delay the process but confirmed that they had been requesting more time and information to assess the carrier.
In August, the country’s central bank refused to grant a waiver or exemption to prospective buyers regarding PIA’s commercial bank loans of Rs268 billion ($971.1 million) and other financial guarantees in dollar terms, a development viewed as a setback to the privatization bid.
Dr. Ishaq said his ministry was in touch with the central bank to resolve the issue regarding all outstanding commercial loans of the national carrier before its final bid.
According to the ministry, the pre-qualified bidders for PIA include Air Blue, Arif Habib Corporation, Blue World City, Fly Jinnah, Pak Ethanol (Pvt) Consortium and YB Holdings Consortium.
Official data available with Arab News shows there are 88 commercially operated state-owned enterprises in Pakistan, with collective losses of up to Rs730.258 billion ($2.61 billion) in the fiscal year 2022 (FY22).
In its five-year privatization plan ending in 2029, the government has approved 24 state-owned enterprises for sale, including PIA.
The top ten loss-making Pakistani entities, including PIA with Rs97.5 billion, the National Highways Authority at Rs168.5 billion and the Peshawar Electric Supply Company Limited with Rs102.2 billion, accounted for cumulative losses of Rs650.197 billion ($2.33 billion) in FY22, according to official data.
In contrast, the remaining enterprises reported combined losses of Rs80 billion ($286 million) during the same fiscal year.
Dr. Ishaq said PIA’s cumulative losses alone had surpassed Rs800 billion ($2.86 billion), with the total asset valuation of the airline standing at approximately Rs160 billion ($572 million).
Haroon Sharif, a former member of the Cabinet Committee on Privatization and a senior economist, said the government should have started the privatization process with “simpler transactions” to improve the confidence of investors instead of trying to sell complicated organizations like PIA.
“It is difficult to smoothly privatize PIA as its accounts, assets and financial records are not as transparent as required by the bidders,” he told Arab News, suggesting that the government bifurcate the PIA into four or five different sections and privatize them in parts.
“The potential bidders will definitely want to see clear and transparent audits, assets and liabilities of PIA before going ahead for the final auction, so that’s why this may take some time,” Sharif said. “The government should also refrain from privatizing the national carrier in haste, otherwise it will backfire.”
With a fleet of 34 aircraft comprising 17 Airbus A320s, 12 Boeing B777s and 5 ATRs, the airline loses traffic to Middle Eastern carriers, who have a market share of 60 percent, because of an absence of direct flights to destinations.
The carrier has air service pacts with 87 countries, and landing slots at key destinations such as London Heathrow.
The re-organization plan of the business will separate the aviation-related aspects from non-core components, so freeing the operating subsidiary of a large portion of legacy debt.
Pakistan delays PIA auction for third time as bidders seek more time
https://arab.news/pae5s
Pakistan delays PIA auction for third time as bidders seek more time
- No new date given for auction with the bidding process initially scheduled to be completed on Oct. 1
- Privatization commission spokesman says PIA’s cumulative losses have surpassed $2.86 billion
Pakistan’s Noman Ali enters ICC Test rankings of top five bowlers
- Ali became 5th Pakistan bowler to grab a Test hat trick in Pakistan’s second Test against West Indies
- India’s Jasprit Bumrah ranked number 1, followed by Pat Cummins, Kagiso Rabada and Josh Hazlewood
ISLAMABAD: Pakistani spinner Noman Ali has made it to the International Cricket Council’s (ICC) Test rankings of top five bowlers, the Pakistan Cricket Board (PCB) said on Wednesday.
Ali shone with his brilliant performance in Pakistan’s two-match Test series against West Indies, becoming the fifth Pakistan bowler to grab a Test hat trick.
“He is currently the top-ranked spinner in the format after taking 16 wickets across two Tests vs West Indies,” the PCB said in a statement.
India’s Jasprit Bumrah is ranked number one Test bowler by the ICC, followed by Australian Pat Cummins, South Africa’s Kagiso Rabada and Josh Hazlewood, also from Australia.
Pakistan triumphed in the first Test in Multan by 127 runs. The West Indies won the second Test in Multan by 120 runs to draw the series 1-1.
This was the West Indies first Test win in Pakistan in nearly 35 years. The last time the West Indies won a Test in Pakistan was in Faisalabad in November 1990, having gone winless on their 1997 and 2006 tours.
Pakistan voices security concerns over presence of US weapons in Afghanistan
- The weapons and equipment were reportedly left in the aftermath of a chaotic withdrawal of US and allied forces from Afghanistan in August 2021
- Islamabad says it has repeatedly asked authorities in Kabul to take necessary measures to ensure these weapons do not fall into the wrong hands
ISLAMABAD: Pakistan on Wednesday voiced “profound concern” over the presence of advance United States (US) weapons in Afghanistan, which Washington has sought to be returned by Kabul’s Afghan Taliban rulers.
The weapons and equipment, coopted by the Afghan Taliban, were reportedly left behind in the aftermath of a chaotic withdrawal of US and allied forces from Afghanistan in August 2021. The previous administration of Joe Biden maintained that US forces had not left behind any equipment during the withdrawal that could be used by militants to target Pakistan.
However, President Donald Trump on Jan. 20 accused the Biden administration of giving “our military equipment, a big chunk of it, to the enemy,” conditioning Afghan aid to the return of these weapons. Afghanistan’s Taliban authorities on Wednesday called for the humanitarian aid not to be politicized.
“The presence of US advance weapons in Afghanistan, left behind in the aftermath of the withdrawal of its troops in August 2021, has been an issue of profound concern for the safety and security of Pakistan and its citizens,” the Pakistani foreign office said in a statement.
“These weapons have been used by terrorist organizations, including the TTP [Tehreek-e-Taliban Pakistan], to carry out terrorist attacks in Pakistan.”
The statement came months after Pakistani security sources said custom authorities had seized a large cache of US-made weapons and ammunition worth approximately Rs35 million ($125,000) at a border crossing between Pakistan and Afghanistan. The weapons seized at the Torkham border crossing in Pakistan’s northwestern Khyber Pakhtunkhwa (KP) province included M4 rifles and magazines, security sources said in Oct. last year.
Pakistan has struggled to contain surging militancy in KP since a fragile truce between the Pakistani Taliban, or the TTP, and the state broke down in November 2022.
The TTP and other militant groups have frequently targeted security forces convoys and check-posts, besides targeted killings and kidnappings of law enforcers and government officials in recent months.
In 2024 alone, the Pakistani military reported that 383 soldiers and 925 militants were killed in various clashes.
“We have been repeatedly calling upon the de facto authorities in Kabul to take all necessary measures to ensure that these weapons do not fall into the wrong hands,” the foreign office added.
The development comes at a time of strained ties between Pakistan and Afghanistan, and Islamabad has frequently blamed the surge in militancy on Afghanistan, accusing it of sheltering and supporting militant groups that launch cross-border attacks. Afghan officials deny involvement and insist that Pakistan’s security issues are an internal matter of Islamabad.
Lion cub gifted to Pakistani YouTube star causes wedding chaos
- Rajab Butt has one of the largest online followings in the South Asian country and his week-long nuptials in late December were plastered over celebrity gossip websites
- Pictures spread rapidly online when a sleepy lion cub was presented to him in a gold-chained cage in front of thousands of guests who partied late into the night in Lahore
LAHORE: A Pakistani YouTube star who was gifted a lion cub on his wedding day has avoided jail after promising a judge to upload animal rights videos for a year.
Rajab Butt has one of the largest online followings in the South Asian country and his week-long nuptials in late December were plastered over celebrity gossip websites.
When a sleepy lion cub, resembling young Simba from the 2019 “Lion King” film, was presented to him in a gold-chained cage in front of thousands of guests who partied late into the night in the eastern megacity of Lahore, pictures spread rapidly online.
Butt captioned a video of the event “it’s raining gifts,” racking up nearly 10 million views.
The morning after, police raided his house, confiscated the cub and kept the newly-wed in custody overnight.
“We found out about the lion cub through social media,” said Faisal Mushtaq, an inspector from the Punjab provincial wildlife department.
Police officers went to Butt’s house and found the lion cub roaming around the garage, he said.
“It was in a poor condition, as it was very cold,” said Mushtaq.
Last week, Butt pleaded guilty to owning an undocumented wild animal but the judge waived a possible fine and prison sentence of up to two years for a more tailored punishment.
Every month for one year, he must post a five-minute video dedicated to animal rights, said the order by judge Hamid Ul Rahman Nasir.
The social media influencer agreed to the conditions, after admitting in a court statement that he “set a poor example” by accepting the gift and going on to “glorify it.”
Butt is one of the country’s highest-paid YouTube stars, according to the platform, and usually posts videos about his family’s daily life, from arguments to new car purchases.
Tanvir Janjua, a veteran wildlife official in Punjab, said the cub was likely bought for between 700,000 and 800,000 Pakistani rupees ($2,500-$2,900).
“It is so wrong, morally and legally, to take away such a small cub from its mother,” which was likely still feeding it, he told AFP.
NEW REGULATIONS
A week after the YouTuber was arrested, an adult lion escaped from his cage, running through the narrow streets of a Lahore neighborhood as residents clambered to their rooftops.
The full-grown adult male was eventually shot dead by a security guard, prompting heated outrage on social media about the dangers of keeping a big cat in a residential area.
Big cats are imported and bred across Pakistan, seen as symbols of wealth and power to the elite that own them.
Last year, Pakistan Muslim League-Nawaz, which rules the government, banned supporters from bringing lions — the symbol of the party — to political rallies.
However, stringent new regulations banning private ownership of big cats in residential areas are currently making their way through Punjab’s provincial government.
Breeders would have to buy a license and have at least 10 acres (four hectares) of land on a site approved by wildlife officials.
‘NEVER BE YOUR PET’
The gifted lion cub, which hasn’t been named, is now enjoying the winter sun in an open pen at Lahore’s sprawling Safari Zoo on the edge of the city, under the watchful eye of a handler.
Janjua, also the zoo’s deputy director, has conducted hundreds of raids against owners, breeders and poachers over the past 33 years to confiscate wild animals, including lions which often had their teeth and claws removed.
“Look at these YouTubers who use these animals to get clicks. What kind of a message are they spreading by being cruel to these animals?” he said, scornful of those who parade them in their cars and at political rallies.
“They can never be your pet. For two or three months it won’t say anything but after that, it will turn aggressive.”
As he nears retirement, Janjua says attitudes toward animals have worsened throughout his career. Laws, however, have improved, he says.
“Now wildlife officials have dedicated uniforms, weapons and we will get our own courts,” he told AFP.
“The courts that already exist are now strict about animal cruelty.”
Next two years ‘crucial’ for Pakistan to expand presence in key Saudi business sectors— envoy
- Ahmad Farooq urges Pakistan to impart skills to its workforce in line with requirements of Saudi market
- Says Pakistanis can enhance presence in Kingdom’s construction, IT, health care, hotels and hospitality sectors
KARACHI: Pakistan’s Ambassador to Saudi Arabia Ahmad Farooq this week said that the next two years are crucial for Pakistani entities to expand their presence in key Saudi business sectors, urging them to capitalize on Riyadh’s ambitious measures to make its economy less dependent on oil.
Saudi Arabia is consolidating its economy on modern lines under the Vision 2030 program, which is a strategic development framework intended to cut the Kingdom’s reliance on oil. It is aimed at developing public service sectors such as health, education, infrastructure, recreation and tourism.
Pakistan has pushed for greater trade and economic ties with the Kingdom in recent months. In October 2024, the two countries signed business agreements worth $2.8 billion. Saudi Arabia is also home to over two million Pakistani expatriates, serving as the largest source of foreign workers’ remittances for the South Asian nation.
Farooq visited the Karachi Chamber of Commerce and Industry (KCCI) on Wednesday to engage with Pakistani businesspersons and industrialists, a statement from the KCCI said.
“Pakistan’s Ambassador to Saudi Arabia Ahmad Farooq, while highlighting the massive transformation in Saudi Arabia under Vision 2030 focused on diversifying the economy beyond oil, emphasized that the next one to two years will be crucial for Pakistan in expanding its presence in Saudi Arabia,” the KCCI said.
Farooq noted that the there would be “abundant opportunities” in Saudi Arabia’s construction, information technology, health care and hotels & hospitality sectors in the next two years.
He stressed the need for Pakistan to impart skills to its workforce so that they can secure employment in the Kingdom.
“If we do not claim our share immediately, it will be taken by competitors but to achieve this, Pakistan needs to focus on improving its workforce by imparting training as per Saudi requirements.”
The Pakistani envoy stressed that Saudi Arabia aims to become a regional IT hub, creating a substantial demand for human resources and expertise.
He said this presented Pakistan’s IT companies a “significant opportunity” to provide services and products to the rapidly growing sector.
Farooq said Saudi Arabia will host four major international events in the next decade, namely the Asian Football Cup in 2027, the Asian Winter Games in 2029, the World Expo in Riyadh in 2030, and the FIFA World Cup in 2034.
“To support these events, Saudi Arabia is investing heavily in infrastructure, including the construction of 250 new hotels,” Farooq said.
“This expansion creates opportunities for Pakistan’s home textile industry, food exports, and trained workforce in hospitality and housekeeping.”
He said mega construction projects in Saudi Arabia, such as Neom City, also presented opportunities for Pakistani contractors.
“Companies from around the world are securing lucrative contracts, and Pakistan must also seize this opportunity,” Farooq said.
Pakistan appreciates EU for GSP Plus status after passing controversial cybercrime law
- Foreign Minister Ishaq Dar meets EU Special Representative for Human Rights Ambassador Olaf Skoog in Islamabad
- Pakistani rights activists say government’s new cybercrime law is aimed at cracking on dissent on social media
ISLAMABAD: Pakistan’s Deputy Prime Minister Ishaq Dar on Wednesday met a senior European Union official to thank the inter-governmental body for its support for Pakistan’s GSP Plus status, hours after it passed a controversial cybercrime law that rights bodies and journalists allege is aimed at suppressing freedom of expression online.
The GSP Plus status gives developing countries such as Pakistan a special incentive to pursue sustainable development and good governance. Countries have to implement 27 international conventions on human rights, labor rights, the environment and good governance in return for the EU to cut its import duties to zero on more than two-thirds of the tariff lines of their exports. In October 2023, the EU rolled over the current GSP Plus status for developing countries, including Pakistan, till 2027.
Pakistan’s digital rights experts, however, have raised concern that the government’s action of adopting the controversial Prevention of Electronic Crimes Amendment Bill, 2025, which opposition and journalists say is aimed at taking action against dissent on social media platforms, can put Pakistan’s GSP Plus status in danger.
Dar, who also serves as Pakistan’s foreign minister, met EU Special Representative for Human Rights Ambassador Olaf Skoog at the foreign ministry’s office on Wednesday.
“The DPM/FM highlighted Pakistan-EU’s growing cooperation in the political and economic spheres and appreciated EU’s continued support for Pakistan’s GSP plus status,” the ministry said.
Dar underscored the importance of Pakistan-EU dialogue on human rights, emphasizing that Islamabad was a firm believer in the protection of fundamental rights. He said the Pakistani government continued to enact and strengthen human rights legislation.
The ministry said Skoog “positively” assessed the potential of Pakistan-EU relations and appreciated the continued growth of collaborative partnership across all sectors.
“The EU SR is on a four-day visit to Pakistan,” the ministry said. “The visit is part of Pakistan-EU joint efforts to enhance dialogue on Human Rights.”
Pakistan’s President Asif Ali Zardari on Wednesday signed the bill into law after it was approved by both houses of Pakistan’s parliament following noisy protests by journalists and lawmakers.
The new amendment bill now proposes the establishment of the Social Media Protection and Regulatory Authority to perform a range of functions related to social media, including awareness, training, regulation, enlistment and blocking.
SMPRA would be able to order the immediate blocking of unlawful content targeting judges, the armed forces, parliament or provincial assemblies or material which promotes and encourages terrorism and other forms of violence against the state or its institutions.
The law also makes spreading disinformation a criminal offense punishable by three years in prison and a fine of two million rupees ($7,150).
A copy of the bill seen by Arab News has set imprisonment of up to three years and a fine of Rs2 million or both for “whoever intentionally disseminates, publicly exhibits, or transmits any information through any information system, that he knows or has reason to believe to be false or fake and likely to cause or create a sense of fear, panic or disorder or unrest in general public or society.”
Information Minister Ataullah Tarar told reporters last week that the bill will protect journalists and not harm them.
“This is the first time the government has defined what social media is,” Tarar said. “There is already a system in place for print and electronic media and complaints can be registered against them.”
He said “working journalists” should not feel threatened by the bill, which had to be passed because the Federal Investigation Agency, previously responsible for handling cybercrime, “does not have the capacity to handle child pornography or AI deep fake cases.”
