PIA to resume London flights after six-year hiatus

WEB DESK: Good news for Londoners who want to visit Pakistan as Pakistan International Airlines (PIA) has announced the resumption of flights from Islamabad to London, set to begin on March 29. The airline will operate four weekly flights to London Heathrow, departing from Terminal 4, marking the return of the route after a six-year hiatus.

The London route is PIA’s first and most sought-after international service. A PIA spokesperson said that the airline is already operating three weekly flights to Manchester, and the addition of London flights aims to enhance travel options for passengers on its UK routes.

This move reflects PIA’s commitment to restoring key international connections and meeting growing passenger demand between Pakistan and the United Kingdom.

PIA’s privatisation

Fauji Fertiliser Company (FFC) has officially joined the consortium led by Arif Habib Corporation Limited, which secured the winning bid for a 75 percent stake in PIA. FFC was initially among the prospective bidders but had exited before the bid submission. Under the privatisation rules, companies that withdraw can later join the successful consortium if they meet eligibility requirements. Arif Habib confirmed FFC’s participation, with discussions ongoing to define its role and investment framework.

Adviser to the Prime Minister on Privatisation, Muhammad Ali, welcomed FFC’s inclusion, noting it would strengthen the consortium financially and managerialy while enhancing international reach. He emphasized that PIA required a robust ownership structure to become a competitive global airline and that FFC’s proven management expertise would support that goal.

PIA is expected to transition to private management by April 2026, pending regulatory and cabinet approvals. The consortium’s winning bid of Rs135 billion exceeded the government’s reserve price of Rs100 billion. The government will receive Rs10 billion upfront and retain a 25 percent stake, while the majority of the funds will be reinvested into the airline to improve its finances. Other consortium members include Fatima Fertiliser, City Schools, and Lake City Holdings, with the possibility of adding further partners, including FFC or a foreign airline.

The privatisation is a critical step in Pakistan’s efforts to reform state-owned enterprises, closely monitored by the IMF. Ali highlighted that PIA has suffered Rs500 billion in losses over the past decade and operates only 18 aircraft. Privatization aims to inject fresh capital, expand the fleet, improve services, and ensure long-term sustainability, moving the airline toward viability and global competitiveness.