Daily Times

On Thursday, Pakistan initiated the outsourcing of all major operations at its three major airports to third-party Qatar which the government has slowly been prodding for enhanced investment in the country’s energy and aviation sectors. But the decision has been condemned by the Aircraft Owners and Operators Association (AOOA). They argue that the discreet nature of the decision is morally dubious and violates Pakistani law.

So, what are the exact implications of a sovereign nation outsourcing one of its biggest assets to a foreign company? It’s unclear since sovereign nations do not take such decisions. On one hand, the move has the potential to improve airport service standards and attract foreign attention at a time when our forex reserves are at an all-time low, discouraging potential bidders from placing their bets on the country. But the PIA hasn’t been performing poorly so why try to bring in a third party to manage one of our best-performing assets? In 2022 alone, the airline collected revenue approximating Rs172bn, the highest amount in its history. In fact, the AOOA claims that Pakistani airports have the potential to generate Rs2700bn over the next thirty years but are being outsourced for a much lower amount at Rs850bn.

This hardly seems logical, especially considering the unilateral nature of this decision-is it not the government’s responsibility to keep the AOOA and other concerned parties in the loop before making a move that has the potential to dramatically change their future? Qatar doesn’t even control its airspace and will further outsource Pakistan’s operations to a Singaporean company that is run almost exclusively by Indians, raising serious questions about the legitimacy of this operation. For instance, what happens to the people currently managing airline operations in Pakistan? Will they be out of a job the second Qatar takes over? If not, what will the transitional period look like? While things will likely become clearer as more details about the deal are revealed, it is essential that the government be entirely transparent in its proceedings and consult those affected before it is too late to go back. *