The government is set to privatise 11 airports across the country, consolidating them into five bundles. This initiative aims to generate revenue from larger airports, which will then be used to support the financial sustainability of smaller airports in the long term.
AAI, however, will continue to provide air traffic control and communication, navigation, and surveillance services. It also stated that AAI’s wholly owned subsidiary, AAI Cargo Logistics and Allied Services Company Ltd (AAICLAS), will continue to undertake cargo operations. “Initially, 12 major airports were assessed based on passenger traffic, land availability and commercial potential, financial performance, and airport-specific strengths and constraints, of which six were recommended for leasing. Subsequently, 136 smaller airports were evaluated for possible bundling with the major airports, based on parameters including traffic potential, capital expenditure requirements, geographical proximity, city-side development potential and financial viability,” the document stated.
