TRUE to his reputation, Federal Minister Khawaja Saad Rafique, after bringing about formidable changes in the working of the Pakistan Railways, is now instrumental in reforming and improving performance of the country’s aviation sector. Two important developments augur well for the sector – a highly favourable deal on PIA’s Roosevelt in New York City and the decision to outsource three major airports in Karachi, Lahore and Islamabad through a transparent and competitive process.
The iconic Roosevelt Hotel is one of the precious assets of the country’s national flag carrier but unfortunately it remained in the spotlight due to various challenges that threatened its very existence. Attempts were made in the past to fix the malaise but these could not produce desired results due to lack of sincerity and proper attention. The previous government of PTI deserves credit for taking the prudent decision to run the hotel under the public-private partnership – a decision which has now been implemented by the coalition government. The agreement to lease the building to the New York City administration for three years is a ray of hope for survival of this ideally located asset as it would yield an income of $220 million (as against rising liabilities of the problematic hotel). The over 1000-room facility was closed in 2020 due to the adverse impact of the Covid on its operations and since then an expenditure of $25 million was being incurred on its maintenance besides a liability of $20 billion and a demand of the local hotel union for $66 million. It is really a wonderful deal as described by the Minister as it would fetch reasonable income and help meet liabilities. As for outsourcing of the three airports, the implementation of the decision has the potential to improve service delivery at these facilities to international standards through involvement of experienced and professional entities. It is also appreciable that the Civil Aviation Authority (CAA) has upgraded three runways and a plan has been prepared to make Sukkur and Dera Ismail Khan as international airports. Aviation sector was at the receiving end during the tenure of the previous government but its challenges are being tackled effectively by the present government.
