The Election Commission of Pakistan (ECP) directed the interim government to halt the proposed privatization of the Pakistan International Airlines on Monday.
In a letter to the Anwaar-ul-Haq Kakar-led caretaker government, the ECP urged authorities not to finalize an agreement regarding the sale of the state-owned firm.
"The caretaker government should refrain from taking any further steps including signing of an agreement in this regard till a decision is made by this commission," the ECP said in its letter.
The letter came days ahead of the February 8 general election in the country.
The sale of the airline is linked to an International Monetary Fund (IMF) bailout package worth $3 billion that Islamabad secured from the global lender last year.
Under the terms of the deal with the Washington-based financial institution, Pakistan agreed to divest its stake from loss-making public sector companies.
The airlines losses stood at $2.5 billion last year while the flag carrier's liabilities were valued at $2.8 billion.