Pakistan International Airlines has signed a deal with Norway’s Norse Atlantic Airways for two Boeing 787-9 Dreamliners, due to join its fleet in November to fly direct between Pakistan and the United Kingdom. It is the first time the 787-9 will be used in Pakistani aviation. The deal comes as the UK has become the fastest-growing major source of remittances into Pakistan.
The short version
- PIA will wet-lease two Boeing 787-9s from Norse Atlantic, with Norse supplying aircraft, crew, maintenance and insurance.
- The planes are expected from November 2026 for Pakistan-UK flights; routes, frequencies and costs have not been disclosed.
- Remittances from the UK rose 19.4% to $1.634 billion in July-September, the fastest growth among Pakistan’s main source countries.
- The lease lets the newly privatised airline add long-haul capacity without buying aircraft.
What happened
PIA announced on 10 October that it had signed an aircraft, crew, maintenance and insurance (ACMI) agreement with Norse Atlantic for two 787-9s. PIA chief executive Amir Hayat called the UK “an important market for PIA” and said the aircraft would add capacity and passenger choice. Norse Atlantic chief executive Eivind Roald described the deal as the start of a strategic partnership. Neither airline has disclosed the lease duration or financial terms.
The deal builds on a gradual return to Britain. The UK lifted its ban on PIA in July 2025, after a suspension that followed the May 2020 Karachi crash and a pilot-licensing scandal. PIA restarted Manchester flights in October 2025 and London flights on 29 March 2026. In March, Pakistan’s High Commissioner to the UK described expansion as gradual because of a “slight financial crunch”. In December 2025, a consortium led by Arif Habib Group bought 75% of PIA for Rs135 billion.
Why it matters
The Pakistan-UK corridor is one of the country’s most valuable. British Pakistanis sent $1.634 billion home in the first quarter of FY27, about 15% of all remittances (Knock-On calculation). Growth from the UK outpaced Saudi Arabia, the UAE, the US and the EU. A large and growing diaspora supports steady demand for family, business and seasonal travel, a market PIA was locked out of for five years.
Remittances from the UK are growing fastest
Workers’ remittances, year-on-year growth, July-September 2026 (Q1 FY27), with amount received
The wet-lease model matters too. Because Norse supplies the aircraft, crew, maintenance and insurance, PIA can add wide-body capacity without first buying aircraft or training crews for a new type. The terms are undisclosed, so it is not yet possible to judge how profitable the flights will be.
The knock-on effects
First order: more direct seats to Britain
Two more long-haul aircraft add direct capacity on routes where PIA has been flying a limited schedule. More direct options could ease pressure on peak-season availability, though the effect on fares will depend on how many flights are added and how rivals respond.
Second order: belly cargo and services trade
Wide-body passenger aircraft carry freight in their holds. More direct UK services could give exporters of perishables, garments and parcels another route to Britain, alongside sea freight on the restored Karachi-Europe direct shipping line. Travel agents, ground handlers and caterers at Pakistani airports may also see more business, particularly if Gulf hubs stay disrupted after the Houthi attacks on Saudi Arabia.
Third order: a test of the privatised airline
This is one of the first visible growth moves since privatisation. If the UK routes fill and make money, it strengthens the case for further fleet expansion and for opening other markets. If they do not, the lease costs will weigh on an airline with a long history of losses.
Who could benefit
- Diaspora travellers gain more direct Pakistan-UK options.
- Exporters to the UK could gain extra belly-hold cargo capacity.
- Travel agents and airport services may see more traffic.
- Norse Atlantic finds work for aircraft returning from other contracts.
Who may face pressure
- Foreign and Gulf carriers that rely on connecting Pakistan-UK passengers.
- PIA’s own finances, if lease costs outrun ticket revenue.
What to watch
- November 2026: arrival of the aircraft and the routes and timetable PIA publishes.
- Whether PIA adds UK cities beyond London and Manchester.
- Monthly remittance data from the SBP for signs the UK corridor keeps growing.
- Any disclosure of lease length or cost.
Sources
- Business Recorder, UK flight operation: PIA strikes deal to acquire two Boeing Dreamliners, 10 October 2026
- Profit (Pakistan Today), PIA signs lease deal with Norse Atlantic for two Boeing 787-9 Dreamliners for UK flights, 10 October 2026
- The Aviation Hub, Norse Atlantic Secures PIA Wet-Lease Deal, October 2026
- Business Recorder, Q1FY27 workers’ remittances post 14pc growth YoY, 10 October 2026
- Arab News Pakistan, Pakistan’s PIA to resume London flights from Mar. 29, plans to expand to other UK cities, 24 March 2026
This is analysis, not investment advice. Figures are as of 10 October 2026.
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