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Govt is Not Privatizing But Outsourcing Airports

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5 min read
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Legal Editorial Desk
Govt is Not Privatizing But Outsourcing Airports
The Pakistan Civil Aviation Authority (PCAA) clarified that media reports concerning the privatization of the country’s airports were false and ‘contrary to the fact’, and that the airports are just being outsourced to give high-quality international services to passengers at airports. According to the spokesperson, the government intends to improve the standards of the country’s airports to an international level. As per the statement, the most suitable and viable way for outsourcing will be chosen on merit from among the different methods used throughout the world. It would be incorrect to imply that the airports are being handed over to other countries. Outsourcing is used to run the majority of the world’s international airports. It is important to understand that outsourcing happens when businesses, charities, or other groups provide services to the government. These contracts are typically granted through a competitive bidding procedure. Outsourcing is justified by the belief that applying market procedures and private sector knowledge to government work will decrease costs, enhance quality, and yield broader advantages such as increased innovation and efficiency. Privatization, on the other hand, is the selling of publicly owned properties to private investors. Investors are in charge of operating, managing, and investing in the assets, as well as offering any services derived from them in exchange for a fee from users.
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Authored and reviewed by the corporate law and tax litigation practice group at Javid Law Associates. Our team comprises High Court advocates, corporate legal advisors, and authorized tax practitioners across Pakistan.

Advocates High Court & Tax Counsel Jurisdiction: Pakistan

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