• Sunday, June 7, 2020

The tragedy of PIA

Discussion in 'Pakistan Economy' started by Falcon26, May 23, 2020.

  1. Falcon26

    Falcon26 FULL MEMBER

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    Yesterday’s horrific and tragic accident brings attention to PIA’s abysmal financial and operational situation. Despite privatization being floated around since early 1990s, no progress has been made due to entrenched political interests. The budget of Pakistan Railways, another disastrous state owned enterprise stood at more than $800-million. PIA is at least twice that amount, bringing into question the continued wisdom behind hanging on to such grossly failed enterprises. This twitter thread is really sobering reminder on what’s wrong with Pakistan’s economy. With the victory of PTI, there was some hope that privatization would move at a rapid pace, unfortunately this hasn’t happened. PTI seems to have fallen victim to the same vested interests that have held Pakistan’s economy hostage for the past many decades.







     
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  2. Enigma SIG

    Enigma SIG SENIOR MEMBER

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    I wouldn't be surprised if the unions sought to sabotage the fleet to get CEO Arshad Malik removed after he was reinstated. PIA is littered with PPP loyalists and they would go to any length to destroy the country.
     
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  3. StormBreaker

    StormBreaker SENIOR MEMBER

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    I was also thinking this since yesterday but didn’t post it, Waiting to see how many others also come up with this.
     
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  4. Enigma SIG

    Enigma SIG SENIOR MEMBER

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    Facts don't lie. I have seen a driver of a PIA get 5Mil PKR gratuity just because he was an ardent PPP supporter all his life.
     
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  5. Falcon26

    Falcon26 FULL MEMBER

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    The new ceo even if competent wouldn’t do a dent to improving the sad situation. Pakistan is wasting more than $2-billion a year on PIA and Pakistan Railways. For an organization that has run losses for decades, this is unacceptable and in fact criminal.

    Once PTCL and the banking industry were privatized, they started making billions of rupees in annual profit. With this example behind it, the Pakistani government should have privatized most if not all of the SEOs. But vested interests continue to dictate the agenda even as the economy collapses; and then people whine about “we don’t have money for this or that” money is there if government can clean its act.
     
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  6. Enigma SIG

    Enigma SIG SENIOR MEMBER

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    PPP and PML-N have alternatively used state institutions to fill them up with their loyalists in return for vote bank politics. These institutions have no professionalism or any roadmap to profitability simply because they see the government as a fat piggy bank. Pakistan needs to sell or at least remove unions from these institutions so that they might balance the sheets if not become outright profitable.
     
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  7. Falcon26

    Falcon26 FULL MEMBER

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    And it’s frustrating that PTI can’t see this basic fact. Selling these SEOs even makes political sense as it eliminates the patronage of the PML & PPP and moves the country forward. But Imran Khan with his goofy logic and the penetrating influence of vested interests means that Pakistan will continue to waste billions of dollars each year on organizations that have be bankrupt for decades. A classic definition of insanity is doing the same thing over and over again but expecting a different result.
     
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  8. Enigma SIG

    Enigma SIG SENIOR MEMBER

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    Although I voted for PTI, lets call it what it is. Nobody expected IK to clear all this filth in 5 years let alone 2 years. We need a change of system and for that the ground has to settle. Now with the world battling a pandemic all progress has been slowed down on reforms.
     
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  9. Falcon26

    Falcon26 FULL MEMBER

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    Can you please list some of the reforms of the PTI? I agree that the PTI is Pakistan’s best hope but what has it done in the last few years? I am not familiar with Pakistani politics and would love to know some of the steps it has taken.
     
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  10. Indus Pakistan

    Indus Pakistan ELITE MEMBER

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    He can see the logic oright. PMIK is hostage to the politics of PIA as any other. MQM is part of the ruling coalition. They are subject to the influence of the unions. Pakistan ideally needs a presidential form of government. That is the only hope left.
     
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  11. Enigma SIG

    Enigma SIG SENIOR MEMBER

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    Would be veering offtopic here and there are a lot of other threads discussing PTI's performance.
     
  12. Indus Pakistan

    Indus Pakistan ELITE MEMBER

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    Think about it. The money wasted over ten years would pay for 2 Bhasha dams or fleet of 100 new F-16s and entire division of latest tanks and still have money left over ...
     
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  13. Michael Corleone

    Michael Corleone SENIOR MEMBER

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    just how bad is PIA? worse than aloo bhaji and rice and fat cabin crews?
     
  14. HttpError

    HttpError SENIOR MEMBER

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    I remember once I was traveling through the Old Islamabad International (Chaklala, Rawalpindi). I saw a big tent where a swarm of supports were wearing batches and posters of PPP. For a moment I couldn't believe my eyes that how International Airports can let these political goons carry out such political activities on Airport's premises but then it is Pakistan and anything can happen.

    The sad reality is, even if someone is ready to pay me, I'd never opt for PIA and wouldn't let any of my family members choose it either.
     
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  15. Enigma SIG

    Enigma SIG SENIOR MEMBER

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    You can see this in almost any SOE with a union. PTCL used to be full of these guys. Not sure about how it is right now.