PIA faces over Rs21 billion loss due to prolonged aircraft grounding

Pakistan International Airlines (PIA), currently up for sale, has incurred a loss of over Rs21.81 billion due to a prolonged grounding of its aircraft for maintenance, according to an audit report by the Auditor General. 

The report indicates that routine maintenance, which should have taken much less time, stretched between 44 to 239 days, causing severe operational disruptions and financial damage.

The delays have been attributed to administrative lapses, leading to a massive operational impact on the airline. 

The issue was brought to the attention of PIA’s management in September 2023, but ongoing financial constraints and payment issues hampered timely repairs and maintenance.

The audit report calls for PIA to provide documentary evidence related to the extended grounding periods and other financial concerns. This incident adds to the airline’s ongoing struggles, following previous revelations of irregularities of Rs38.40 billion, highlighting persistent operational challenges at the national carrier.