ISLAMABAD (Web Desk) - The government has included Islamabad International Airport in its privatisation programme under a long-term concession mode and is considering possible mechanisms for outsourcing the operations of airports in Islamabad, Karachi and Lahore, including management contracts and long-term commercial concessions.
According to the Privatization Commission, the Islamabad International Airport has been added to the active privatisation programme in line with the ongoing process for Karachi and Lahore airports.
The commission said that the government’s core objectives include improving efficiency, enhancing service delivery, maximising revenue generation, upgrading infrastructure, and attracting domestic and international private sector investment.
It added that constructive engagement is underway with institutions from valued partner countries, including the United Arab Emirates, Türkiye and Saudi Arabia, as well as other international stakeholders.
The statement noted that these efforts are aligned with Pakistan’s broader economic vision to promote mutually beneficial cooperation aimed at modernising the aviation sector.
The Privatization Commission further said it has taken notice of certain misleading reports claiming the cancellation of a proposed agreement for Islamabad International Airport and strongly rejected such reports.
Progress made on Islamabad International Airport outsourcing after PIA privatisation
It clarified that claims regarding the cancellation of any lease agreement with the United Arab Emirates are false and misleading, as no such agreement or lease has been signed for Islamabad International Airport or any other airport.
The commission said that in November 2025, due to strong high-level interest from various investors in participating in these concessions, the government decided to shift from a government-to-government (G2G) mode to an open bidding mode for all three airports.
It was emphasized that under this competitive process, all domestic and foreign investors will have a level playing field to participate in the bidding.
The decision has no political or diplomatic context and is purely economic and procedural in nature.
The Privatization Commission added that the competitive process designed for airport outsourcing will prioritize inclusivity and welcome participation from all eligible entities, including those from valued partner countries, while providing equal opportunities to local and foreign investors.
According to the commission, these principles are aimed at promoting transparency and fair competition, delivering optimal outcomes for Pakistan’s economy, and strengthening sustainable relationships with international partners.