Pakistan Moves Forward With Plans to Outsource Islamabad International Airport Under G2G Agreement With UAE
The Government of Pakistan is progressing toward a government-to-government (G2G) agreement with the United Arab Emirates (UAE) for the outsourcing of Islamabad International Airport, according to sources in the Privatization Commission.
Collaborative Framework in the Works
Officials have confirmed that the Ministry of Finance, Ministry of Defense, and the Aviation Division have been instructed to jointly prepare a comprehensive framework for the agreement. This framework will be finalized after receiving approvals from the federal cabinet and the International Monetary Fund (IMF), and then shared with UAE authorities.
Shift From Open Bidding to Direct Negotiation
Unlike earlier plans for an open bidding process, the airport will now be outsourced through direct negotiations under the G2G model. This change is part of the government’s broader strategy to accelerate privatization efforts under its economic reform agenda.
Part of Wider Privatization Plan
Islamabad International Airport is one of several state-owned enterprises the government intends to privatize during the current fiscal year. Others include:
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Pakistan International Airlines (PIA)
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Islamabad Electric Supply Company (IESCO)
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Faisalabad Electric Supply Company (FESCO)
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Gujranwala Electric Power Company (GEPCO)
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First Women Bank
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House Building Finance Corporation
This move reflects a growing focus on improving operational efficiency and attracting foreign investment in key sectors of the economy.
What’s Next?
The final decision on the G2G arrangement is expected in the coming months, following detailed reviews by both local and international stakeholders. If successfully executed, the agreement could mark a significant milestone in Pakistan’s efforts to modernize its infrastructure and streamline public sector management.
