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Committee formed to outsource Islamabad, Karachi, Lahore airports

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ISLAMABAD, Jan 5 (FD): The federal government on Thursday formed an eight-member committee to begin process of outsourcing three major airports of Pakistan – Islamabad, Karachi and Lahore, according to reports.

According to details, the committee would be headed by Director-General Civil Aviation Authority (CAA) Khaqan Murtaza.

In this connection, the committee has written a letter to managers of all three major airports, directing them to provide data of airports aviation ministry.

The letter stated that the committee would also collect information from all directorate branches of three airports.

CAA issues clarification

Pakistan Civil Aviation Authority (PCAA) yesterday clarified that the authorities commenced the outsourcing process of the country’s airports but not privatisation.

The PCAA spokesperson said in a statement that the media reports regarding the privatisation of the airports are false. The government planned to upgrade the country’s airports to the international standard to facilitate the nationals.

It added that the purpose of outsourcing airports is providing best services to the passengers at the airports. The outsourcing process will be based on competitive auctions, the PCAA said.

According to sources, the government has planned to prefer friendly countries for airports outsourcing. “The firms from Saudi Arabia, UAE, Qatar, China and Turkey will be invited on preferential grounds,” sources said.

Sources citing the Planning Division have said that the country will earn 250 to 300 US million dollars in a year from outsourcing of airports.

The government will contract to outsource airports for 25 years, sources said. Under the agreement airport terminal services, parking, airport storage, cargo handling and cleaning sections will be outsourced, sources said.

Civil aviation will keep airport security and air traffic control with it. The CAA earns Rs 30 bln per annum from the three largest airports in the country, sources added.

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  • FD News

    Financial Daily (FD) is an emerging media outlet providing news reports, analysis and features especially related to politics and economy. FD is currently one of the largest and most comprehensive private-sector information portals in Pakistan, providing its readers with apolitical, unbiased and fact-based news reports and analyses.

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