Has Pakistan approved the outsourcing bid for Islamabad Airport?
PAA clarifies outsourcing bid status
ISLAMABAD: The Pakistan Airports Authority (PAA) has recently issued a statement to counter misleading media reports suggesting that a financial bid for the outsourcing of Islamabad International Airport had been approved.
The claims, which suggested that the T.E.R.G. consortium was granted approval, were described by the PAA as “baseless” and “misleading.”
The PAA spokesperson emphasised that the outsourcing issue is still in the legal review phase and has not reached a conclusion.
Financial proposal under evaluation
Last week, reports surfaced indicating that the Turkish consortium, the sole bidder for Islamabad airport’s operations, had offered a concession fee of 47 per cent of its revenue from operations. However, the bid fell short of the 56 per cent minimum required by the Pakistan Airports Authority (PAA).
The bid’s financial proposal is now being evaluated by the International Finance Corporation (IFC), a member of the World Bank Group, before any final decisions are made.
Push for privatisation continues
Pakistan’s government is actively pursuing privatisation initiatives, including the outsourcing of three major airports, to generate much-needed revenue. The PAA, which oversees these procedures, is working closely with international experts to ensure the process meets global standards.
Additionally, the government is exploring the sale of a 60 per cent stake in Pakistan International Airlines (PIA) to raise funds for economic reforms.