Pakistan is currently considering transferring the operations of two major port terminals in Karachi to the United Arab Emirates (UAE). These terminals, namely Karachi International Container Terminal (KICT) and Pakistan International Container Terminal (PICT), handle the majority of Pakistan’s container traffic.
The motive behind this potential move is to generate funds for the country’s budget deficit. The UAE, an established investor in Pakistan, has shown interest in taking over these terminals. If approved, it would mark the first instance of a foreign company managing a significant port in Pakistan.
The government is yet to reach a final decision, expected in the following weeks. Here are additional details about the two terminals: KICT, the largest container terminal in Pakistan, handles over 1.5 million TEUs annually. PICT, the second-largest terminal, manages over 1 million TEUs yearly.
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Both terminals are located in Karachi, Pakistan’s primary seaport. Currently, they operate as a joint venture between the government and a private company. The potential sale has raised concerns about strategic asset control, corruption risks, and local economic impacts.
The government has assured addressing these concerns before making a final determination.
