The Privatisation Commission announced that outsourcing for Islamabad, Lahore, and Karachi airports will now follow open bidding. Previously, the plan focused on a government-to-government model. However, rising investor interest prompted the policy shift.
This change allows both domestic and foreign firms to compete equally. As a result, the commission aims to ensure transparency and fair competition. Officials believe this approach will deliver better outcomes for Pakistan’s economy.
The new bidding model offers a level playing field for all eligible investors. It also encourages participation from partner countries and global stakeholders. Consequently, competition is expected to increase significantly.
Airports Included in the Programme
The airports under consideration include Islamabad International Airport, Jinnah International Airport Karachi, and Allama Iqbal International Airport Lahore. The government is exploring multiple outsourcing options. These include management contracts and long-term commercial concessions.
Islamabad airport has formally entered the active privatisation programme. This step aligns it with ongoing processes for Karachi and Lahore airports. Authorities confirmed that discussions with international partners have already taken place.
Entities from the United Arab Emirates, Turkiye, and Saudi Arabia showed interest. Other global investors also participated in consultations. Therefore, confidence in the aviation sector appears to be improving.
Objectives of the Outsourcing Plan
The primary goals include improving efficiency and enhancing service quality. Additionally, the plan aims to maximise revenue and modernise airport infrastructure. Private investment is considered essential for achieving these objectives.
Officials stated that the initiative supports Pakistan’s broader economic vision. Moreover, it encourages collaboration to upgrade the aviation sector. Transparency and competitiveness remain central to the process.
Roosevelt Hotel Privatisation Moves Forward
Separately, the Privatisation Commission has invited proposals to appoint a financial adviser for the Roosevelt Hotel in New York. The government plans to develop the property through a joint venture.
Proposals can be submitted by February 16. The authorities aim to finalise the transaction within one year. The hotel will be offered using the most suitable transaction structure.
The selected adviser will conduct market sounding exercises. These efforts will validate investor interest and identify potential partners. Furthermore, the adviser will assess different transaction models.
Marketing and Investor Engagement
The adviser will also design a marketing strategy for the property. This plan will help project the site’s value and investment potential. Meetings with potential investors will also be arranged.
These engagements will provide insight into investor profiles and market conditions. The commission believes this approach will attract serious bidders.
Strategic Importance of the Property
The Roosevelt Hotel stands on Madison Avenue in midtown Manhattan. It is a 19-storey property with 1,025 rooms. The covered area exceeds 600,000 square feet.
The hotel is wholly owned by PIA Investments Limited. It remains the only real estate asset currently included in the privatisation programme.
Conclusion
The shift to open bidding reflects Pakistan’s intent to attract quality investment. Airport outsourcing and hotel privatisation signal a broader reform push. Authorities expect competitive bidding to strengthen economic outcomes.
