PIA likely to face losses over Rs100 billion amid bans, coronavirus

The Pakistan International Airlines (PIA) is expected to incur losses over Rs100 billion due to suspension of international flights amid the fake licences controversy and the coronavirus pandemic.

As per details, the national carrier is expected to incur losses up to Rs100 billion due to ban on flight operations by the United Kingdom (UK), European Union (EU) and the United States (US). The target of revenue for the current year was set at Rs196 billion.

Moreover, PIA would also suffer losses of up to Rs12 billion in terms of Hajj operations this year after the Saudi authorities decided to hold the annual pilgrimage on a limited scale, while the airline is also facing losses up to Rs9 billion due to closure of Umrah operations.

It is pertinent to mention here that that on July 10, PIA Chief Executive Officer (CEO) Air Marshal Arshad Malik had apprised Prime Minister (PM) Imran Khan regarding the status of ongoing dialogues with European Union Aviation Safety Agency (EASA) for the resumption of flight operation. He had also given a briefing to the premier regarding the restructuring process of the national carrier.

Malik had reportedly presented a comprehensive plan to PM Imran for turning PIA into a profitable national entity and the premier had directed the PIA CEO to expedite the reform process of the national flag carrier.

He had also summoned the framework for reform agenda within seven days.