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UAE Drops Plan to Run Islamabad Airport as Pakistan Moves to Privatisation

Local reports say Abu Dhabi failed to nominate a partner for operations, and no official explanation has been issued.

Overview

  • The Express Tribune reports the proposal, discussed since August 2025, was shelved after the UAE repeatedly declined to name a local entity despite a final call from Islamabad.
  • Following the withdrawal, Pakistan approved adding Islamabad International Airport to its active privatisation list after earlier pursuing an outsourcing model.
  • The development closely followed UAE President Sheikh Mohamed bin Zayed’s brief New Delhi visit, where India and the UAE advanced a Strategic Defence Partnership and a prisoner release, though no link has been officially drawn.
  • Coverage places the move in a wider regional context that includes strains between Abu Dhabi and Riyadh and Pakistan’s mutual defence pact with Saudi Arabia, without confirmed political motives.
  • Analysts highlight Pakistan’s fragile aviation sector—coming off the sale of PIA—and note that even with UAE experience in challenging environments, investor confidence remains a concern.