Govt gets another shot at PIA sale

The government is making another attempt to privatise PIA after the previous effort in which a sole investor submitted a bid of Rs10 billion, significantly lower than officials’ expectations. The lack of interest shown by the buyers during the first round of privatisation was due to multiple reasons, including the 18 per cent GST on the purchase of new aircraft and the national carrier’s liabilities. The National Assembly Stan­ding Committee on Privatisation was informed on Monday that the government had removed 18pc GST on the purchase of new aircraft in a bid to spur investors’ interest. The Privatisation Commission chairman informed the committee that the IMF agreed to remove the tax after the government presented its concerns.