Aurangzeb says PIA sale has revived Pakistan’s privatisation push, boosted investor confidence

Finance Minister Muhammad Aurangzeb said the successful privatisation of Pakistan International Airlines has provided a much-needed boost to Pakistan’s long-delayed privatisation programme, with strong interest from domestic investors helping to reignite foreign confidence in the country as an investment destination.

Speaking to state media on the sidelines of the World Economic Forum Annual Meeting, Aurangzeb said Pakistan’s privatisation drive, which had seen little progress for nearly a decade, was now gaining traction. He stressed that sustained foreign investment was difficult to attract without credible participation from local investors.

According to the finance minister, the recent PIA transaction sent a clear signal to international markets. “The PIA privatisation has ticked many boxes,” he said, noting that bids from two major local conglomerates demonstrated confidence in the reform process and helped reposition Pakistan in the eyes of global investors.

Last month, a consortium led by Arif Habib Corporation Limited emerged as the highest bidder for a 75 percent stake in PIA, offering Rs135 billion. The bid exceeded the government’s minimum price of Rs100 billion as well as the auction’s base price of Rs115 billion.

Aurangzeb said the renewed confidence among domestic investors was expected to translate into higher foreign investment inflows, particularly in sectors such as agriculture, information technology and mining. “We will see a lot more investment coming in,” he said.

He added that during his engagements at the WEF, he met with his counterparts from Saudi Arabia and the United Arab Emirates, describing both as long-standing partners of Pakistan who had welcomed and praised the privatisation programme.

Outlining the government’s broader engagement strategy, Aurangzeb said the focus at the WEF was on reinforcing confidence among existing investors while reaching out to new ones. He noted that the prime minister was scheduled to hold roundtable discussions with global investors from priority sectors including IT, artificial intelligence and mining, with the government signalling its readiness to facilitate and support investment.

The finance minister said many of the structural challenges that had previously held back investment had largely been addressed, adding that Pakistan was now better positioned to move forward at scale. “Pakistan is ready for business,” he said.