Islamabad, September 28, 2026: Finance Minister Muhammad Aurangzeb has discussed potential US Export-Import (Exim) Bank financing for Boeing aircraft for privatised Pakistan International Airlines (PIA), refinery upgrades and the Reko Diq copper and gold mining project in Balochistan, his adviser Khurram Schehzad said.
Schehzad said the government was facilitating PIA’s access to international financing and suppliers but was not purchasing aircraft itself and had announced neither a sovereign guarantee nor a taxpayer-funded loan
The clarification followed Aurangzeb’s meeting with US Exim Bank Chairman John Jovanovich in New York, where the two sides discussed potential financing for PIA aircraft, refinery upgrades and Reko Diq.
According to the Ministry of Finance, Aurangzeb highlighted PIA’s interest in Boeing aircraft, particularly 787 Dreamliners, and sought support for a financing package covering aircraft and engines.
He also raised the need for spare parts to help bring grounded Boeing 777 aircraft back into service.
Schehzad said US Exim’s mandate, like that of other export credit agencies, was to support US exports and jobs. Boeing aircraft, he noted, constituted US exports, while US Exim provides financing support to foreign purchasers of US-manufactured aircraft, including airlines.
He said US Exim could structure financing against the aircraft and assess the creditworthiness of the airline or lessee, meaning a sovereign guarantee would not automatically be required.
“The government’s role is to facilitate access to international financing, technology and suppliers rather than directly finance PIA,” Schehzad said in a post on X.
PIA was privatised after an Arif Habib-led consortium won a 75% stake in the national flag carrier with a Rs135 billion bid at an auction held on December 23, 2025.
The bid exceeded the government’s reference price of Rs100 billion.
Transaction documents were signed on January 29, 2026, while management control of PIA was transferred to the investor consortium following the first financial closing on June 29, 2026.
The consortium committed a total investment of Rs180 billion, comprising Rs55 billion for the government and Rs125 billion in fresh investment in PIA.
Schehzad said Aurangzeb’s engagement with US Exim was not limited to PIA and also covered potential financing in the aviation, refinery and mining sectors as part of broader Pakistan-US economic cooperation.
He rejected descriptions of the potential arrangement as a “public loan”, “hidden subsidy” or “state backstop”, saying no such arrangement had been announced.
“The official statement refers to potential US Exim financing support; it does not announce government borrowing for PIA or a sovereign guarantee,” he said.
Schehzad said the government’s approach was consistent with its policy of reducing the state’s role in commercial activity and creating greater space for private capital.
He added that privatisation transferred ownership and commercial management to the private sector but did not prevent the government from facilitating access to international financing, technology and business opportunities.
