A Turkish consortium, the only candidate to operate Pakistan’s Islamabad airport, has proposed a concession fee below the minimum threshold, the chairman of the bid evaluation committee said on Thursday.
The cash-strapped South Asian country is seeking to generate revenue by accelerating the privatization process, including outsourcing the management of three major airports.
The consortium, made up of Terminal Yapi, ERG Insaat and ERG UK, has proposed paying the government 47% of its operating revenue in the form of a concession fee, which is below the minimum of 56% set by the government, the Aviation and Airports Authority said.
The International Finance Corporation (IFC), a member of the World Bank group, which advises Islamabad on outsourcing, will take up the matter before Pakistan makes a decision on whether to appeal offers.
“The details of the financial proposal will be presented and forwarded to the IFC for further evaluation and submission of final reports,” said Sadiq ur Rehman, chairman of the bid evaluation committee and deputy general manager of the airport authority. Pakistani.
-Pakistan is also seeking to divest a 60% stake in debt-ridden PIA airline to raise cash and reform state-owned enterprises, as part of a $7 billion International Monetary Fund package .
A failed attempt to privatize the national carrier in October also received just one proposal, well below the asking price.
Swiss
