Boeing is preparing a revised proposal to supply new aircraft to Pakistan International Airlines (PIA), as the recently privatised carrier looks to expand its fleet and bring grounded planes back into service.
The proposal was discussed during a meeting between Finance Minister Muhammad Aurangzeb and Boeing Global President Brendan Nelson in New York, according to Pakistan’s finance ministry.
The ministry said Boeing would submit a revised offer for new aircraft, while both sides would also explore earlier delivery slots and temporary leasing options. It did not disclose the number of aircraft, their price or a possible delivery schedule. No purchase deal has been signed.
For PIA’s new owners, securing aircraft is a key part of the airline’s turnaround plan. The carrier needs more planes to increase flights, open new routes and improve services.
A consortium led by Arif Habib Corporation took control of PIA in June under a privatisation deal with a total commitment of Rs180 billion. Of this, Rs55 billion was allocated as proceeds for the government, while Rs125 billion was earmarked for investment in the airline, including fleet expansion and modernisation.
The talks with Boeing also covered possible financing through the US Export-Import Bank, as well as engines, spare parts, maintenance support and efforts to return grounded aircraft to service.
A US Commerce Department assessment has estimated that PIA needs a fleet of at least 25 to 30 aircraft to operate sustainably and support its expansion plans.
The meeting also touched on Pakistan’s efforts to restore direct flights to the United States. However, Pakistani airlines remain restricted from starting new US services after the Federal Aviation Administration gave Pakistan a Category 2 safety rating in 2020. No change to that rating was announced.
Aurangzeb also discussed plans to outsource the management of major airports, including those in Islamabad, Karachi and Lahore.
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