The Pakistan Airports Authority (PAA) is accelerating efforts to modernize and expand Pakistan’s aviation infrastructure, with more than Rs69 billion allocated for development projects during fiscal year 2026-27.
The authority, which has completed two years since its establishment, currently manages 26 operational airports and serves more than 22 million passengers annually. The latest development budget represents a 110% increase, providing greater financial support for airport expansion, rehabilitation and modernization projects across the country.
Major Airport Development Projects
One of the PAA’s major achievements is the completion of the New Gwadar International Airport, developed at a cost of approximately Rs55 billion. The authority has also completed the reconstruction of the main runway at Karachi Airport, with an investment of around Rs10 billion.
Rehabilitation and upgrading projects have also been completed at airports in Dera Ismail Khan, Parachinar and Turbat, improving facilities and operational capabilities in these regions.
Meanwhile, major expansion programmes are underway at Lahore and Skardu airports. The Lahore airport expansion project has been allocated Rs43 billion, while the Skardu development programme carries an allocation of Rs70 billion.
Airport Modernisation and Digital Transformation
The PAA is also focusing on modernizing airport operations and improving passenger services. Islamabad International Airport has become Pakistan’s first fully cashless airport, while modern security-screening systems, e-gates and upgraded air traffic management systems are being introduced as part of the authority’s modernization drive.
Additional infrastructure projects include the development of a cargo village at Karachi Airport, a new air traffic control tower at Peshawar Airport, and a maintenance, repair and overhaul (MRO) facility at Islamabad Airport.
New Airports Under Consideration
To further expand Pakistan’s aviation network, the PAA is also considering the development of new greenfield airports in Sukkur, Faisalabad and Dera Ismail Khan.
The proposed projects are aimed at improving regional connectivity, supporting economic activity and meeting the growing demand for air travel and cargo services.
Rs69 Billion Development Budget for FY2026-27
With more than Rs69 billion earmar2ked for FY206-27, the PAA is set to undertake a wide range of airport expansion, rehabilitation and modernization projects.
The significant increase in development funding highlights the government's focus on upgrading aviation infrastructure, improving passenger facilities, strengthening airport operations and preparing Pakistan’s airports for future growth.