KARACHI: Fresh from acquiring a controlling stake in Pakistan International Airlines (PIA), leading businessman Arif Habib has set his sights on Pakistan’s vast but underdeveloped blue economy, with particular interest in the Pakistan National Shipping Corporation (PNSC).
Speaking to journalists at the Naya Nazimabad Gymkhana on Sunday, the 73-year-old industrialist disclosed that the new PNSC management has invited him for discussions on the corporation’s future, signalling potential private-sector participation in the maritime sector.
Pakistan’s blue economy—focused on the sustainable commercial use of ocean resources—remains largely untapped, despite an estimated potential exceeding $100 billion. At present, it contributes less than 0.5 per cent to the national GDP. Meanwhile, PNSC plans to expand its fleet from 10 vessels to 54 ships by 2030, aiming to capture a major share of nearly $6 billion paid annually in foreign freight charges.
Arif Habib also outlined an ambitious roadmap for reviving PIA, stating that the airline’s full fleet of 34 aircraft will be serviceable by September 2026. Currently, only 17 aircraft are operational. His consortium, which acquired a 75 per cent stake in PIA for Rs135 billion ($482 million), will assume management control in April 2026 and immediately roll out a comprehensive turnaround plan.
Describing the privatisation as Pakistan’s most significant state-owned enterprise sale in years, Habib said the deal reflects the government’s resolve to offload loss-making entities that have burdened the national exchequer.
Recalling his earlier stint on PIA’s board in 2016, Habib said the airline’s problems stemmed from years of unchecked borrowing, backed by government guarantees, which led to mounting debts and heavy interest liabilities. He noted that earlier privatisation attempts failed due to governance issues and weak economic conditions, but recent macroeconomic stability—lower interest rates, a stronger rupee and stable oil prices—made the latest transaction viable.
Under the deal, Fauji Fertilizer will hold 25 per cent, while Arif Habib’s group, in partnership with Fatima Fertilizer, will control another 25 per cent. The remaining 25 per cent will be shared among other consortium members. Of the Rs135 billion purchase price, Rs125 billion will be injected directly into PIA to fund engine replacement, maintenance, operations and fleet expansion. The consortium will also absorb PIA’s liabilities of around Rs54 billion.
Habib said the turnaround strategy prioritises improved service quality, competitive fares, strict safety standards and merit-based hiring. The plan also includes strengthening PIA’s cargo operations and expanding the operational fleet from 17 to 38 aircraft in the near term.
He stressed that safety and maintenance would remain non-negotiable, calling the PIA privatisation a crucial test case for Pakistan’s broader economic reform and privatisation agenda.
