ISLAMABAD
PSO has stopped the fuel supply to PIA at Multan, Sukkur, and Gilgit airports due to unpaid dues, exacerbating the precarious situation of the national flag carrier. This suspension of fuel supply on Monday led to the cancellation of 14 flights between Multan, Karachi, Sukkur, Islamabad, and Gilgit. According to sources, PIA owes PSO an amount of Rs650 million according to the agreed schedule. As reported by The Express Tribune on Sunday, PIA has sought additional borrowing of over Rs7 billion from banks due to concerns about the potential partial or complete suspension of its flight operations resulting from a severe financial crisis.
According to the report, PIA wrote to the Aviation Division, requesting an immediate loan of over Rs7 billion from banks. The letter also noted that the government of Pakistan’s guarantee includes the option for the airline to secure a loan of Rs7.5 billion.
Interestingly, no bank has shown interest in providing a loan to the airline.
