Bad days have come for Pakistan? Preparation to hand over Islamabad airport to foreign hands

Pakistan is facing an economic crisis and its foreign exchange reserves are dwindling. At the same time, news has come that the Government of Pakistan is actively outsourcing the operation of major airports. According to a Dawn report, talks to outsource the Islamabad International Airport (IIA) to foreign operators are in advanced stages. Finance Minister Ishaq Dar has directed the stakeholders to finalize the formalities for outsourcing the operations of IIA by August 12, which is the last day of the current government’s term.

In the meeting held on Saturday under the chairmanship of Dar, the progress of outsourcing airport operations was assessed. Dawn reports that the committee has given clear directions to prioritize completion of processes required for outsourcing IIAs. During the meeting, the World Bank’s International Finance Corporation (IFC), which acts as the transaction advisor for the outsourcing, briefed the participants on the progress.

The Finance Minister also expressed readiness to clear the changes in aviation laws before the end of this month. It was agreed in the meeting to fast track the outsourcing of IIA in line with industry best practices. The committee also discussed the future roadmap for outsourcing IIA operations. According to the report, the Economic Coordination Committee had earlier decided to launch a 25-year outsourcing plan for operations and land assets at Islamabad, Lahore and Karachi airports. These works will be done through public-private partnership to generate foreign exchange.