Summary The meeting, held under the chair of Ishaq Dar, approved the dry lease of five A320 aircrafts.
ISLAMABAD (Web Desk) - The Executive Committee of the Cabinet (ECC) has approved the lease of five A320 aircraft from amongst ten aircraft shortlisted on merit based on their financial and technical parameters.
The meeting was held in Islamabad on Tuesday with Finance Minister Ishaq Dar in the chair.
The ECC approved the dry lease of five A320 aircrafts with the direction that the lease period of the present aircrafts hired on wet lease may be extended so that a pool of at least ten aircrafts be maintained for convenience of general public and passengers. It authorized PIA to initiate bidding for tender of additional five aircrafts which may be inducted by 15th of June next year.
The finance minister observed that the finalization of the lease by Pakistan International Airlines will not only rehabilitate its international credibility but also improve its image.
The Aviation secretary informed ECC that due to release of 12.7 billion rupees‚ PIA was able to add six additional aircraft which raised the number of operational aircraft from 20 to 26. This had increased schedule integrity (in time) and no complaints of delay was reported during Hajj operations.
He also informed ECC that the loss of PIA had reduced from 3.3 billion to 1.5 billion rupees last month.
The PIA management stated that the improvement in the performance‚ service and financial health of PIA was a result of the regular financial support and continued oversight by the present government.
The ECC approved providing guarantees to Exim Bank of USA and Islamic Corporation of Insurance and Export Credit (ICIEC) for providing financing for servicing and repairs of nine bowing 777 aircrafts which are the main stay of PIA fleet.
The minister observed that generally Exim Bank does not provide loans for repairs and maintenance and this reflects the confidence of the international institutions in the economic policies of the present government.
The ECC expressed concern over reports in the Media regarding increase in the prices of essential commodities.
It directed the provincial governments to further strengthen monitoring of prices and check hoarding and profiteering.
The ECC expressed the hope that the provinces shall share information and follow best practices to provide relief to the common man in maintaining fair prices of essential commodities.
It observed that work on the revival of executive magistracy may be expedited by the committee already constituted for the purpose so that a more effective check can be made against profiteers and hoarder.
