ISLAMABAD: Pakistan’s aviation minister has announced the government would outsource the management of the Islamabad International Airport to a third party for a period of 15 years to improve its operational activities, Pakistani state media reported on Friday.
The airport, which became fully operational in May 2018 after replacing the defunct Benazir Bhutto International Airport, serves as the largest airfield in the country in terms of cargo and passenger capacity, and caters to 9 million passengers each year, according to its official website.
The Islamabad airport is also the second busiest one in the country after the Jinnah International Airport in Pakistan’s commercial hub of Karachi.
“The move does not equate to privatization. Instead, it aims to bring in proficient operators to enhance airport operations,” the state-run APP news agency quoted Rafique as saying during a parliamentary session.
“Open competitive bidding would be ensured, allowing the best bidder to be given the opportunity to operate the airport.”
The process would be profit-oriented and ultimately benefit the national exchequer, according to the minister.
“The International Finance Corporation will serve as the consultant, and already 12-13 companies have shown interest in participating in the bidding process,” he said.
Rafique highlighted the success of outsourced airports in other countries like India and Turkiye, mentioning that even the Madinah airport had been efficiently outsourced to deliver enhanced services.
He, however, clarified that the runway and navigation operations of the Islamabad airport would not be included in the outsourcing process.
The minister assured that the process would be transparent and in accordance with rules and regulations.
“No employees would be laid off, and all existing staff would retain their job security and privileges,” he said. “However, best practices would be implemented to ensure facilities at airports are efficiently managed.”
He also stressed the need to restructure the Pakistan International Airlines (PIA) to address its substantial deficit, which had reached Rs80 billion this year and was projected to increase to Rs259 billion by 2030, if not dealt with appropriately.