KARACHI: Pakistan has rejected media reports claiming it canceled a proposed agreement allowing the United Arab Emirates to operate Islamabad’s main airport, saying no lease or government-to-government deal was ever finalized.
In a statement issued on Saturday, the Privatization Commission said reports suggesting Pakistan had withdrawn from a UAE-run airport arrangement were misleading and factually incorrect.
“The claim that Pakistan has canceled a lease agreement with the UAE is inaccurate, as no such agreement was ever signed for Islamabad International Airport or any other airport,” the commission said.
The clarification follows reports that Pakistan had stepped back from a proposed arrangement due to delays in the nomination of an operating company by the UAE side.
Officials said the government decided in November to move away from a government-to-government framework and instead pursue an open, competitive bidding process for airport concessions, citing strong interest from multiple investors.
The commission added that the shift was driven by economic and procedural considerations and did not reflect any political or diplomatic disagreement with the UAE.
As part of this approach, Islamabad International Airport has now been included in Pakistan’s active privatization program under a long-term concession model. The airport will be offered alongside planned concessions for Karachi and Lahore airports.
The government said the open bidding process would allow both local and international investors, including those from partner countries, to participate as Pakistan seeks private investment to modernize its aviation infrastructure.
