i NEWS PAKISTAN

PIA reports financial losses due to aircraft groundingBreaking

August 15, 2024

According to the auditor general’s report, Pakistan International Airlines (PIA), which is currently up for sale, has faced significant operational and financial losses due to the prolonged grounding of aircraft in its fleet for maintenance. The routine maintenance of PIA’s aircraft took between 44 to 239 days, much longer than expected, resulting in massive operational disruptions and financial losses of over Rs 21.81 billion. The report attributed that this inordinate delay to administrative negligence. PIA’s management was informed about the issue in September 2023, but the airline’s ability to perform timely repairs and maintenance was severely hampered by financial constraints and payment issues. The audit report urged PIA to provide documentary evidence related to the prolonged grounding of the aircraft and other related financial issues. PIA has also faced such challenges, as previous irregularities amounting to Rs38.40 billion were also highlighted, making the recurrence of such issues a matter of grave concern.

Credit: Independent News Pakistan