Rs 177.41 Billions Loan Outstanding Against PIACL

Rs 177.41 billions loan outstanding against PIACL

ISLAMABAD, (Pakistan Point News - APP -7th Sept,2016) : Minister for Parliamentary Affairs, Sheikh Aftab Ahmed on Wednesday said that an amount of Rs. 177.41 billion of loan was outstanding against Pakistan International Airline Company Limited (PIACL) till June 30 this year. Responding a question in Senate, he said the loan include non Fleet Loan PKR 160.055 billion and Fleet Loan PKR 17.359 billion. The government has taken several steps, he said, to improve the performance and service quality and other cost cutting measures of the airline for clearance of outstanding loans.

He said Rs. 16 billion was injected in 2014 to PIAC for making outstanding payments to their vendors, US$ 52 million were added in 2015 for acquiring 15 aircraft on dry lease to boost the performance of airline. He informed that approval of GoP guarantees from June, 2013 till date is Rs. 28.8 billion against loans obtained by PIA. The minister said fleet modernization, HR rationalization and operational restructuring were made after the current government came into power. He said the government had converted PIAC into a Public Limited Company, thereby empowering PIACL board of Directors and management to act more independently and effectively. The conversion will also enable the government to restructure and revive PIA as a modern day commercial Airline in accordance with international best practices.