Has PIA Cleared its Debt So Far?

Pakistan International Airlines Corp (PIAA) has officially refuted claims of debt clearance or loan shifting at this time. Citing a recent news article titled “Good News for Economy: PIA’s Liabilities, Debt Cleared” published on April 3, 2024, by a news daily, the flag carrier said the information may have been derived from a press release by the Privatization Commission regarding PIA’s divestment. This release likely accompanied the advertisement for PIA’s divestment, the Scheme of Arrangement (SOA), and the Teaser, which were recently published on the Privatization Commission’s website, said PIA. It’s important to note that the Scheme of Arrangement clearly outlines the transfer of PIACL’s debt to the newly established Holding Company, without considering other pertinent factors. PIACL has officially refuted claims of debt clearance or loan shifting at this time. Additionally, it is believed that the Pakistan Stock Exchange (PSX) has issued a rebuttal regarding this matter. Despite the absence of official statements from the company, media coverage of PIA’s restructuring is expected to persist, fueled by information from relevant government entities. Given the public interest in this matter and the government’s commitment to advancing it, media attention is likely to continue.