ADB services hired to outsource Islamabad Airport operations
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ISLAMABAD: The Privatisation Commission Board (PCB) on Friday approved the signing of a transaction advisory services agreement (TASA) with the Asian Development Bank (ADB) for the outsourcing of operations of Islamabad International Airport (IIAP).
The meeting, presided over by Adviser to the Prime Minister on Privatisation and Chairman of the Privatisation Commission Muhammad Ali, reviewed the terms of the negotiated TASA and approved the agreement with ADB.
The board expressed confidence that ADB, with its expertise and experience, will successfully complete this transaction expeditiously while ensuring maximum competition and transparency.
IIAP will be outsourced to a qualified private sector operator under a long-term concession framework through a competitive bidding process. The privatisation is expected to enhance operational efficiency, improve passenger experience, and align airport services with international best practices.
Karachi, Lahore air gateways next
The government is targeting the privatisation of IIAP during the current fiscal year. The contract with ADB as transaction adviser was revised with certain changes in contract conditions envisaging some indemnity clauses because of its multilateral status. The contract terms were approved by the Cabinet Committee on Privatisation.
The process of hiring financial advisers to outsource the international airports in Karachi and Lahore would begin immediately, as previous government-to-government discussions had not progressed as desired. Both airports were expected to attract more than $500 million in fresh investment each, Mr Ali told Dawn a few days ago.
Furthermore, the PCB also granted approval for the appointment of BDO Ebrahim & Company, chartered accountants, as external auditors for the audit of three financial years from 2025-26 to 2027-28, on the recommendation of the Audit Committee of the Board.
The PCB resolved to continue ensuring transparency, efficiency, and the maintenance of high standards to further strengthen investor confidence in the government’s privatisation programme, said an official statement.
Published in Dawn, July 11th, 2026
