Pakistan International Airlines (PIA) has reported a pre-tax profit of Rs. 11.5 billion ($40.6 million) for the first half of 2025 — its first profit in 20 years. The last time the national carrier posted such results was back in 2004.
The turnaround comes mainly due to the government’s decision to absorb most of PIA’s old debts, significantly reducing financing costs. With less debt pressure, the airline managed to improve its financial performance and gain breathing space.
However, experts caution that challenges remain. PIA’s equity is still negative, meaning liabilities continue to exceed assets. This highlights the long journey ahead for the airline to achieve true financial stability.
The announcement coincides with the government’s ongoing plan to privatize PIA, part of broader economic reforms under the IMF bailout program. Privatization is expected to bring in new investments, improve efficiency, and make the airline competitive in the global market.
Several major Pakistani business groups have already expressed interest in acquiring stakes in PIA, with the final bidding process anticipated later this year.
For many observers, the profit marks a hopeful sign of recovery, but the real test will be how effectively the privatization process is managed and whether PIA’s long-standing structural issues are properly addressed.
