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Post by : Meena Ariff
Pakistan has announced a major shift in its approach to managing its three largest airports by launching an open and competitive bidding process for their operations. The country’s Privatisation Commission confirmed that Islamabad, Lahore, and Karachi airports will be offered under long-term commercial concession agreements, replacing previous plans that involved government-to-government arrangements.
Initially, authorities had explored the possibility of handing over management of Islamabad International Airport through direct agreements between governments. However, this approach has now been set aside in favor of a more inclusive and transparent bidding system that invites participation from both domestic and international investors. This move signals Pakistan’s commitment to fostering a fair and competitive environment for airport management.
The government expects that the airports will be operated under a public-private partnership (PPP) model. This means that while the ownership of the airports will remain with the state, private operators will be responsible for day-to-day operations, maintenance, and service improvements. Officials believe this partnership structure will help boost operational efficiency, enhance service quality for passengers, modernize airport infrastructure, and increase overall revenues.
The Privatisation Ministry emphasized that the decision to shift away from government-to-government deals was influenced by strong interest from multiple investors, prompting the adoption of an open bidding process to ensure a level playing field. The selection procedure will be competitive and based purely on economic and procedural merits, without any political or diplomatic considerations.
In addition, Pakistan clarified its ongoing engagement with potential partners from valued nations, including the United Arab Emirates, Turkey, and Saudi Arabia. The government also addressed and refuted rumors claiming the cancellation of any lease agreements for Islamabad airport, confirming that no such agreements had been signed.
This new bidding framework is designed to promote transparency, encourage fair competition, and achieve the best economic outcomes for Pakistan. It also aims to strengthen enduring relationships with international investors and partners, signaling a forward-looking approach to the country’s aviation sector development.
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