In a significant development, authorities have decided to privatize Islamabad International Airport under a Public-Private Partnership (PPP) model. The Civil Aviation Authority (CAA) has announced an extension for the outsourcing tender date, now set for September 16.
The decision to extend the tender date marks the fourth extension, reflecting the CAA’s commitment to ensuring a thorough and competitive bidding process. The extension was communicated to interested companies, emphasizing the completion of the privatization process under the PPP framework.
Islamabad International Airport, operational since 2018, replaced the old Benazir Bhutto International Airport and serves as a crucial gateway to Pakistan’s capital and northern regions. Located 30 kilometers outside the city, the airport is accessible by road and has significantly increased its capacity from 3 million passengers annually (mpax) to 9 mpax.
In the fiscal year 2022, Islamabad International Airport handled 4.8 million passengers, making it Pakistan’s second busiest airport. It is also the third largest in terms of cargo traffic, with volumes nearly recovering to pre-COVID levels, showcasing considerable spare capacity.
The airport is a key base for Pakistan International Airlines (PIA) and caters to a diverse range of Middle Eastern carriers. The CAA’s plan to outsource the airport covers design, build/rehabilitate, finance, operate, maintain, and transfer responsibilities, aiming to enhance operational efficiency and service quality.
