PTI government had come to power with the promise to introduce reforms in the loss-making enterprises to improve their performance and efficiency. However, despite the passage of more than two years in power, these institutions continue to run into losses with no signs of reforms.
The audit report compiled by the Auditor General of Pakistan has once painted a gloomy picture of Pakistan International Airline (PIA). The audit report for the years says the organization is heavily dependent on debts, instead of equity and this has increased its financial risk. The supreme audit institution further states that the Airline has a poor liquidity position as it faces an abnormal decrease in fixed assets, net revenue and cargo revenue whilst there was an abnormal increase in trade deposits, accumulated losses, advances to employees, long-term financing and operating losses. It is really pity to see the Airline in such a poor situation. This is the same Airline which once was considered as the pride of Pakistan. Various regional Airlines which received training and infrastructure from it are now in a better position to secure a lion’s share in the world market due to professionalism, high class services and safety standards. We often see the Prime Minister Imran Khan chairing meetings on institutional reforms. Directions are also given for reforms in these enterprises but these appear to be falling on deaf ears as nothing has been done so far to pull PIA like institution from the tailspin. Revitalizing PIA would require both administrative restructuring and transparent utilization of the available resources. The national flag carrier owns precious assets such as Roosevelt Hotel New York and Hotel Scribe Paris which should be optimally utilized for resource generation. For this, the government will have to swallow the bitter pill of providing the necessary funds to bring them into full operations. Improving services as per the international standards is important to win back the confidence of travelers. Until the Airline is able to expand its fleet, it should primarily operate on profitable routes especially the Gulf region in view of the presence of large number of Pakistani expatriates there.
