Air Karachi, a new private airline backed by Karachi’s top business tycoons, is gearing up to launch domestic flight operations in Pakistan, promising affordable, reliable, and high-quality travel. Having secured its Regular Public Transport (RPT) license from the Pakistan Civil Aviation Authority (CAA) on June 5, 2025, the airline is poised to take off soon with an initial fleet of three leased aircraft. Led by retired Air Vice Marshal Syed Imran Majid Ali and supported by prominent investors like Aqeel Karim Dhedhi and Arif Habib, Air Karachi aims to revolutionize Pakistan’s aviation sector, starting with domestic routes and eyeing Middle East destinations by 2026.
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Key Details of Air Karachi
- Launch Timeline: Domestic flights expected to start in late 2025, pending final aircraft acquisition and Air Operator’s Certificate (AOC) approval. International flights to the Middle East planned after a mandatory one-year domestic run.
- Leadership:
- Investors: Backed by Karachi’s business elite, including Aqeel Karim Dhedhi (AKD Group), Arif Habib (Arif Habib Limited), Bashir Jan Muhammad, Khalid Tawab, Zubair Tufail, Hanif Gohar, Hamza Tabani, and Atif Ikram Sheikh (President, FPCCI). Initial investment: Rs. 5 billion ($17.5 million), with each of 100 shareholders contributing Rs. 50 million.
- Fleet: Starting with three leased aircraft, expanding to seven within a year for domestic and international growth.
- Routes:
- Business Model: Inspired by AirSial’s success, Air Karachi emphasizes affordability, punctuality, and customer-centric service, aiming for operational efficiency without price gouging.
- Regulatory Status:
- Registered with the Securities and Exchange Commission of Pakistan (SECP) in November 2024.
- RPT license issued June 5, 2025, after meeting CAA’s capital requirements (Rs. 600 million paid-up capital), safety standards, and environmental compliance. License fee: Rs. 500,000; security deposit: Rs. 100 million.
- Mission: Enhance Pakistan’s aviation market, create jobs, boost tourism, and strengthen foreign exchange reserves through competitive pricing and quality service.
Why Air Karachi Matters
Air Karachi enters Pakistan’s aviation sector at a critical time, as the national carrier, Pakistan International Airlines (PIA), faces privatization challenges after a failed Rs. 10 billion bid for a 60% stake in 2024 (reserve price: Rs. 85 billion). With only three private airlines—Airblue, SereneAir, and AirSial—currently operating domestically alongside PIA, Air Karachi’s entry promises increased competition, better fares, and improved services. Karachi, Pakistan’s economic hub, generates significant travel demand, yet lacks sufficient airline options. Air Karachi aims to fill this gap, modeled on AirSial’s success in Sialkot, which expanded to international routes since 2020.
Economic and Social Impact
- Job Creation: Expected to generate employment in aviation, ground handling, and tourism sectors.
- Economic Boost: More flight options could attract international travelers, increasing foreign exchange reserves and supporting Pakistan’s tourism sector, which could earn billions annually.
- Connectivity: Focus on underserved cities will improve access, benefiting students, professionals, and businesses.
- Competition: Likely to pressure existing airlines (PIA ranked fourth in punctuality at 89.32% in 2023) to enhance services and lower fares.
Challenges
- Aircraft Acquisition: Securing three leased aircraft and AOC approval may delay the launch.
- Competition: Faces rivalry from Airblue, SereneAir, AirSial, and emerging airlines like Jet Green, Q Airways, and Go Green Air.
- Infrastructure: Limited airport facilities in smaller cities could hinder underserved route plans.
- PIA’s Shadow: Ongoing PIA privatization (four companies shortlisted, final bids by end-2025) may overshadow new entrants.
Tips for Travelers
- Stay Updated: Follow sastaticket.pk or Air Karachi’s official channels for flight schedules and bookings once operations begin.
- Book Early: Expect competitive fares on domestic routes; subscribe to newsletters for flash sales and discounts.
- Verify Routes: Check for confirmed routes (Karachi-Lahore, Karachi-Islamabad).
- Prepare for Travel: Arrive 2.5 hours early for domestic flights; baggage allowances (up to 30 kg for Flex fares) vary by fare type.
DATE . July/23/2025
