OUR authorities have apparently remained in a state of utter confusion as regards the revival of state enterprises is concerned. Mere speeches are made to turn them into profitable entities but nothing concrete has happened so far.
The Roosevelt Hotel in New York – an entity owned by Pakistan International Airlines Investment Limited (PIAIL) is another classic example of sheer neglect and the situation today unfortunately has reached a point where it announced to close its doors permanently on October 31, citing economic constraints. Roosevelt Hotel is situated in a prime commercial area of New York and there is no reason it should incur losses. The Managing Director of PIAIL himself is on record stating Roosevelt remained profitable for 99 years and suffered a loss of only $1.5 million last year. Then there are influential people such as US President Donald Trump who have reportedly evinced interest in buying the Roosevelt Hotel which speaks about profitability and potential of the building/site currently suffering temporary losses like other entities in the world due to the situation arising out of Covid-19. We have no doubt in saying that Roosevelt is one of the precious assets of the PIA and it has the potential to earn profits if renovated and run on professional lines. In August it was reported that the Economic Coordination Committee (ECC) of the cabinet, was expected to approve funding of $125 million to PIAIL to rescue Roosevelt Hotel that has fallen into a debt trap and its assets are at risk. Therefore, instead of closing its doors, it is for the government to provide a bailout package to the hotel so that it could continue its operations without any hindrance. We understand there are certain elements which want privatization of this strategic asset which in fact is a face of Pakistan in the heart of the US. We will ask the Prime Minister to personally look into the matters of Roosevelt Hotel and a new business plan should be prepared to revive its old glory.
