Khyber Pakhtunkhwa Govt Ready to Acquire PIA with Bid Exceeding Rs10bn

The Khyber Pakhtunkhwa (KP) government has officially informed the federal government of its intention to place a bid for Pakistan International Airlines (PIA) that exceeds the highest current offer of Rs10 billion from the Blue World Consortium.

In a letter addressed to Federal Minister for Privatisation Aleem Khan, KP Board of Investment and Trade (KP-BOIT) Vice Chairman Hassan Masood Kunwar expressed KP’s intent to participate in the bidding process for PIA’s acquisition. Speaking for the province, Kunwar assured that they would be bidding on behalf of the chief minister and the people of KP to come aboard.

“This letter serves as our formal intent to position the government of KP as a competitive bidder in this strategic acquisition,” stated the letter.

The KP Board of Investment and Trade addressed its letter to the privatisation minister, stressing the national significance of PIA as a critical asset. The letter explained, “Recognising the importance of retaining PIA within the national fold, the chief minister has directed us to actively pursue the acquisition to ensure the airline remains under the control of government rather than being transferred to a private or foreign-backed entity.”

The letter urged the federal government to consider KP’s proposal as a viable alternative that would allow PIA to remain within a provincial framework, preserving its legacy and aligning with public interest to uphold national values.

“In line with this commitment, we are prepared to offer a bid that will surpass the current highest offer of Rs10 billion by Blue World Consortium, ensuring a strong and competitive position within this process,” it continued.

Additionally, the KP government showed readiness to get the first chance to sit with the privatisation ministry to bring out the detailed plan, clarify its strategic plan about PIA, and open full proofs of capacity to achieve and even go beyond the existing bids. The letter concluded, “Please let us know a convenient time for this engagement, as we are prepared to act swiftly and decisively in our pursuit of this vital national interest.”

Sources revealed that the matter was discussed at a meeting, attended by KP Chief Minister Ali Amin Gandapur. KP-BOIT Vice Chairman Hassan Masood Kunwar clarified that the KP government’s interest in acquiring PIA was not politically motivated but rather aimed at saving this significant national asset from being undervalued.

Kunwar explained that KP is willing to pay the current highest bidder Rs10 billion above what has been bid at the moment. He argued that the federal government had spent between $25 million and $30 million on privatisation process and said that it would be unfair to sell the airline for mere $35 million to the people of Pakistan.

Kunwar further stated that Blue World Consortium is backed by china southern airlines and Pakistanis would come out to support their pride of PIA which is over 70 years old. The KP-BOIT also expressed interest for allowing investors in the province of KPK to participate in the bidding process.

“We are not going to allow the sale of the national flag carrier at a throwaway price,” Kunwar asserted.

He also informed that for the procurement, the KP government is partnering with technical and financial partners while the experts will manage the airline and do not let the political mafias interfering with it.