PIA, Aviation Industry Lose Over Rs. 450 Billion Due to European Travel Restrictions

Pakistan International Airlines (PIA) and the aviation industry have cumulatively suffered financial losses exceeding Rs. 450 billion over the past four and a half years due to European travel restrictions. Privatization Commission sources told ProPakistani that PIA alone has lost approximately Rs. 220 billion, while the Pakistan Civil Aviation Authority (CAA) reported the remaining industry-wide losses of around Rs. 250 billion, primarily due to the restrictions on Pakistani carriers across the EU airspace. The recent restoration of European routes is seen as a crucial step in PIA’s privatization efforts. The European Aviation Safety Agency (EASA) this week officially lifted the suspension on flight operations of PIA, CAA Director General Nadir Shafi Dar also confirmed that Third Country Operator (TCO) authorization has been issued to Airblue. Sources said there are plans to also restore UK routes in the near future. Efforts are underway to reinstate PIA’s status before the airline’s privatization is finalized. Negotiations for PIA’s privatization are ongoing under a government-to-government (G2G) agreement, sources added.