Islamabad: The privatization process of Pakistan’s national airline has moved significantly closer to completion after authorities secured all required domestic and international approvals necessary for the transaction.

According to officials of the Privatisation Commission, all regulatory clearances, No Objection Certificates (NOCs), and other mandatory consents required to finalize the privatization agreement have been successfully obtained.

Officials further confirmed that the Share Purchase and Subscription Agreement (SPSA) has been formally signed with the successful bidder, marking a major milestone in the privatization process.

The commission stated that the transaction has now entered its concluding phase, with preparations underway for the First Closing, a key stage during which the transfer of shares and management control will take place.

Under the terms of the agreement, the successful bidder is required to make the remaining payment at the time of First Closing. Officials disclosed that approximately Rs85 billion is expected to be paid during this stage of the transaction.

The Privatisation Commission said efforts are being made to complete the First Closing by the end of June 2026, in line with the agreed timeline.

Once the First Closing is finalized, the airline’s administrative and management control will officially be transferred to the new owner, effectively concluding one of Pakistan’s most significant privatization initiatives in recent years.

Officials described the development as an important step toward restructuring the aviation sector and reducing the financial burden associated with state-owned enterprises.

The privatization of the national carrier has been under discussion for several years as successive governments sought ways to address the airline’s financial challenges, operational inefficiencies, and recurring losses.

Supporters of the move argue that private-sector management could improve operational performance, enhance service quality, modernize the fleet, and strengthen the airline’s financial position.

The government has also presented the privatization program as part of a broader economic reform agenda aimed at increasing private investment, improving efficiency in public-sector entities, and reducing pressure on public finances.

Earlier, the Privatisation Commission Board had pre-qualified four investor groups interested in acquiring a stake in the airline, paving the way for the bidding and negotiation process.

Economic analysts note that the successful completion of the transaction could serve as a significant milestone in Pakistan’s privatization efforts and may encourage investor confidence in future public-sector reforms.

With regulatory approvals secured and contractual agreements signed, the focus now remains on completing the First Closing and ensuring a smooth transfer of ownership and management responsibilities.

Further details regarding the transition process and future operational plans of the airline are expected to emerge once the transaction reaches its final completion stage later this month.