Tag: airports

  • Jinnah, Allama Iqbal, and Islamabad airports to be outsourced by govt

    Jinnah, Allama Iqbal, and Islamabad airports to be outsourced by govt

    The government has approved a draft to outsource three of its major airports in a bid to boost its dwindling foreign exchange reserves.

    The Economic Coordination Committee (ECC) of the government considered a summary presented by the Ministry of Aviation regarding the engagement of the International Finance Corporation (IFC), which is part of the World Bank Group, as a transaction advisor for the outsourcing process.

    The airports that will be outsourced are the Jinnah International Airport Karachi, Allama Iqbal International Airport Lahore, and Islamabad International Airport.

    The committee, headed by Finance Minister Ishaq Dar, initiated the outsourcing process under the Public-Private Partnership Act-2017 to engage private investors/airport operators to run the airports, develop associated land assets, and enhance commercial activities. The committee also approved the draft Transaction Advisory Agreement (TASA) reached with the IFC by the Pakistan Civil Aviation Authority (PCAA) for the outsourcing of the airports after a detailed discussion.

    The details of the partnership or any agreement have not been made official. According to officials, Pakistan has been in talks with Qatar to jointly run terminals at the three airports.

    Prime Minister visited Doha last year to seek Qatari investment in the country’s energy and aviation sectors, and the Qatar Investment Authority pledged $3 billion to Pakistan.

    Pakistan’s national flag carrier is struggling with accumulated losses of nearly Rs400 billion Pakistani rupees, and the government hopes that outsourcing the airports will help attract direct foreign investment and provide world-class facilities to passengers.

  • Govt to hand over operations and management of Pakistan’s major airports to international firms

    Govt to hand over operations and management of Pakistan’s major airports to international firms

    Federal Minister for Information and Broadcasting Shibli Faraz has announced the federal cabinet’s decision of handing over operations and management of Pakistan’s major airports to international firms, saying that a special committee to prepare a legal framework by June 30 has been formed.

    Briefing journalists about the decisions taken by Tuesday’s federal cabinet meeting under the chairmanship of Prime Minister (PM) Imran Khan, the info minister said that country’s major airports will be outsourced to bring them on par with international standards. “The government is looking for some international firm with rich experience of operating and managing airports.”

    He said the cabinet was informed that some firms had already evinced interest in the matter and a legal framework had to be clarified before the tendering process started. “To this effect, a committee, to be headed by Aviation Minister Ghulam Sarwar Khan, would fast track the process,” he said.

    According to sources, the members of the committee will include Special Assistant to PM on Overseas Pakistanis Zulfiqar Bukhari, the chairperson of the Board of Investment (BoI) and Adviser on Parliamentary Affairs Babar Awan as well as Adviser on Commerce, Trade and Industry Abdul Razak Dawood.

    About job security of employees working at airports in case of their outsourcing, Faraz said the government, which came to power on the basis of votes of masses, would like to ensure none was deprived of his or her job rather there could be more job opportunities.