Cash-strapped Pakistan is outsourcing its major airports' operations as the country contends with an economic crisis that has sent its foreign exchange reserves plummeting. Pakistan is to proceed with the sale by a tender of a contract to manage Islamabad Airport after consultations with the World Bank's International Finance Corporation.

Cash-strapped Pakistan to lease out Islamabad Airport

In order to fulfil the rising demand for air travel and the resulting delays in the delivery of new aircraft, InterGlobe Aviation Ltd, the owner of IndiGo, the leading airline in India, announced on Friday that it is considering "wet leasing" aircraft.&nbsp;

A "wet lease" arrangement is one in which the lessor provides the aircraft and personnel while still maintaining operational control of the flights.&nbsp;

Following the release of IndiGo's second-quarter loss report, the airline's new Chief Executive Officer Pieter Elbers revealed that the company has been prolonging some of its current leases and delaying the return of aircraft.

"Another element which is under discussion today, and we are still in the final stages of clarifying, is a possible wet lease operation," Elbers said.

The demand for air travel has increased to levels that are very similar to those seen before the Covid outbreak, both domestically and abroad.&nbsp;

After its loss for the July-September period worsened because of high fuel expenses and foreign exchange losses, IndiGo said it was optimistic about returning to operational profitability in the current quarter.&nbsp;

Also Read:&nbsp;<a href="https://www.wionews.com/india-news/watch-starbucks-co-founder-relishes-dosa-in-bengaluru-gives-3-star-rating-531184">Watch: Starbucks co-founder relishes Dosa in Bengaluru, gives 3-star rating</a>

The airline anticipates an increase in capacity, as defined by the number of available seats per kilometre, of around 25 per cent&nbsp;from the same period last year. Additionally, it kept its forecast for a 13–17 per cent&nbsp;rise in capacity for the current fiscal year.

"In the coming years, we will build on our strong (domestic)foundations with more international aspirations," Elbers said.

According to IndiGo, fuel prices increased by more than three times during the second quarter compared to the same period last year, and rupee-related foreign exchange losses were 12 billion rupees ($145.88 million) for the three months.

(with inputs from agencies) 
&nbsp;

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In order to fulfil the rising demand for air travel and the resulting delays in the delivery of new aircraft, InterGlobe Aviation Ltd, the owner of IndiGo, the leading airline in India, announced on Friday that it is considering "wet leasing" aircraft.

In order to fulfil the rising demand for air travel and the resulting delays in the delivery of new aircraft, InterGlobe Aviation Ltd, the owner of IndiGo, the leading airline in India, announced on Friday that it is considering "wet leasing" aircraft. A "wet lease" arrangement is one in which the lessor provides the aircraft and personnel while still maintaining operational control of the flights. Following the release of IndiGo's second-quarter loss report, the airline's new Chief Executive Officer Pieter Elbers revealed that the company has been prolonging some of its current leases and delaying the return of aircraft. "Another element which is under discussion today, and we are still in the final stages of clarifying, is a possible wet lease operation," Elbers said. The demand for air travel has increased to levels that are very similar to those seen before the Covid outbreak, both domestically and abroad. After its loss for the July-September period worsened because of high fuel expenses and foreign exchange losses, IndiGo said it was optimistic about returning to operational profitability in the current quarter. Also Read: Watch: Starbucks co-founder relishes Dosa in Bengaluru, gives 3-star rating The airline anticipates an increase in capacity, as defined by the number of available seats per kilometre, of around 25 per cent from the same period last year. Additionally, it kept its forecast for a 13–17 per cent rise in capacity for the current fiscal year. "In the coming years, we will build on our strong (domestic)foundations with more international aspirations," Elbers said. According to IndiGo, fuel prices increased by more than three times during the second quarter compared to the same period last year, and rupee-related foreign exchange losses were 12 billion rupees ($145.88 million) for the three months. (with inputs from agencies)

IndiGo may 'wet lease' planes to meet growing demand for air travel

Yet another controversy has surrounded the Pakistan International Airlines (PIA), and this time it is the company's monetary situation.

An aircraft of the PIA was seized at the Kuala Lumpur airport, while 170 passengers were on board.

Malaysian authorities seized a Boeing-777 of the PIA at the Kuala Lumpur airport following court orders against the company as the PIA had been proven guilty for non-payment of aircraft lease dues.

As per reports, the company owed money to the AerCap, a Dublin-based company.&nbsp;

The Pakistan company has now, after almost a week, paid nearly $7 million to the Peregrine Aviation Charlie Limited, local media reported.

"The claimant’s position is that the sums were paid today by the defendant (PIA)," AerCap's lawyer told the court this week.

PIA's payments were pending since July. As per the local reports, PIA owed $580,000 per month to the airliner which was due in the whole amount.

The leasing company had to, in the end, file a case against the Pakistan airlines in the London High Court. This case was filed in October 2020 and the official records read the charge to be non-payment of leasing fee, which was nearly $14 million and was due for nearly six months.

When the PIA had been informed about the non-payment, they had cited pandemic to be a reason, claiming the airlines had been badly hit following a worldwide lockdown.

However, the leasing company had been tracking the company's movement and appealed to the London High Court to issue an order of seizing the aircraft as per the international civil aviation leasing laws.&nbsp;

When the aircraft landed in Malaysia, the authorities seized the aircraft with the passengers on board, creating chaos.

Yet another controversy has surrounded the Pakistan International Airlines (PIA), and this time it is the company's monetary situation. An aircraft of the PIA was seized at the Kuala Lumpur airport, while 170 passengers were on board.

Yet another controversy has surrounded the Pakistan International Airlines (PIA), and this time it is the company's monetary situation. An aircraft of the PIA was seized at the Kuala Lumpur airport, while 170 passengers were on board. Malaysian authorities seized a Boeing-777 of the PIA at the Kuala Lumpur airport following court orders against the company as the PIA had been proven guilty for non-payment of aircraft lease dues. As per reports, the company owed money to the AerCap, a Dublin-based company. The Pakistan company has now, after almost a week, paid nearly $7 million to the Peregrine Aviation Charlie Limited, local media reported. "The claimant’s position is that the sums were paid today by the defendant (PIA)," AerCap's lawyer told the court this week. PIA's payments were pending since July. As per the local reports, PIA owed $580,000 per month to the airliner which was due in the whole amount. The leasing company had to, in the end, file a case against the Pakistan airlines in the London High Court. This case was filed in October 2020 and the official records read the charge to be non-payment of leasing fee, which was nearly $14 million and was due for nearly six months. When the PIA had been informed about the non-payment, they had cited pandemic to be a reason, claiming the airlines had been badly hit following a worldwide lockdown. However, the leasing company had been tracking the company's movement and appealed to the London High Court to issue an order of seizing the aircraft as per the international civil aviation leasing laws. When the aircraft landed in Malaysia, the authorities seized the aircraft with the passengers on board, creating chaos.

PIA aircraft seized at Kuala Lumpur with 170 passengers on board

Sri Lanka said on Tuesday it was withdrawing permission for a Chinese company to buy the freehold to 20 hectares of land being reclaimed under a $1.4 billion port project after India objected. 
 
Instead, it will grant the state-owned construction company a 99-year lease on the land next to the port in Colombo, under a new agreement. 
 
&quot;India had a big concern about giving freehold land to China near the Colombo harbour,&quot; government spokesman Rajitha Senaratne told reporters. &quot;We have amended the agreement. There will be no freehold land but it will be on a 99-year lease.&quot; 
 
The government had put the project on hold pending a review of all the big-ticket agreements signed under the previous administration of Mahinda Rajapakse. The former president relied heavily on Chinese investment to rebuild the country&#39;s infrastructure after the end of the island&#39;s decades-long ethnic war in May 2009, a move which some say alienated India. 
 
The Chinese-funded port was also controversial among environmentalists. Senaratne said the developers had agreed to drop a proposed Formula One track and increase public park space, and environmental safeguards would be put in place. 
 
The project is being funded by China Communications Construction Company and was launched by Chinese President Xi Jinping in September 2014 during a visit to Colombo. 
 
Beijing has been accused of seeking to develop facilities around the Indian Ocean in a &quot;string of pearls&quot; strategy to counter the rise of rival India and secure its own economic interests. 
 
But Senaratne said the government had decided to go ahead with the project under new terms. Colombo would set up an offshore banking centre to compete with Dubai and Singapore, he said. 
 
The reclamation represents the biggest-ever single foreign investment in Sri Lanka. It will add 269 hectares (672 acres) of real estate in the congested capital, which has a population of over 650,000. Once completed, the Chinese will have 108 hectares (266 acres) on a 99-year lease for commercial development. 
 
Earlier, 20 hectares of that was to be on a freehold basis. Under the agreement, the Sri Lankan government will get 62 hectares (153 acres) and the rest will be public parks and access roads. 
 
China, the largest single lender to Sri Lanka, secured contracts to build roads, railways, and ports under Rajapakse, who is under investigation over allegations of corruption during his decade in power. 
 
The administration of President Maithripala Sirisena says the terms negotiated by the previous government were unfavourable. But it has still decided to go ahead with many of the Chinese-funded projects. 
 
(AFP)

Government spokesman Rajitha Senaratne said Sri Lanka has amended the agreement, it will grant the Chinese company a 99-year lease instead

Sri Lanka said on Tuesday it was withdrawing permission for a Chinese company to buy the freehold to 20 hectares of land being reclaimed under a $1.4 billion port project after India objected. Instead, it will grant the state-owned construction company a 99-year lease on the land next to the port in Colombo, under a new agreement. "India had a big concern about giving freehold land to China near the Colombo harbour," government spokesman Rajitha Senaratne told reporters. "We have amended the agreement. There will be no freehold land but it will be on a 99-year lease." The government had put the project on hold pending a review of all the big-ticket agreements signed under the previous administration of Mahinda Rajapakse. The former president relied heavily on Chinese investment to rebuild the country's infrastructure after the end of the island's decades-long ethnic war in May 2009, a move which some say alienated India. The Chinese-funded port was also controversial among environmentalists. Senaratne said the developers had agreed to drop a proposed Formula One track and increase public park space, and environmental safeguards would be put in place. The project is being funded by China Communications Construction Company and was launched by Chinese President Xi Jinping in September 2014 during a visit to Colombo. Beijing has been accused of seeking to develop facilities around the Indian Ocean in a "string of pearls" strategy to counter the rise of rival India and secure its own economic interests. But Senaratne said the government had decided to go ahead with the project under new terms. Colombo would set up an offshore banking centre to compete with Dubai and Singapore, he said. The reclamation represents the biggest-ever single foreign investment in Sri Lanka. It will add 269 hectares (672 acres) of real estate in the congested capital, which has a population of over 650,000. Once completed, the Chinese will have 108 hectares (266 acres) on a 99-year lease for commercial development. Earlier, 20 hectares of that was to be on a freehold basis. Under the agreement, the Sri Lankan government will get 62 hectares (153 acres) and the rest will be public parks and access roads. China, the largest single lender to Sri Lanka, secured contracts to build roads, railways, and ports under Rajapakse, who is under investigation over allegations of corruption during his decade in power. The administration of President Maithripala Sirisena says the terms negotiated by the previous government were unfavourable. But it has still decided to go ahead with many of the Chinese-funded projects. (AFP)

Sri Lanka withdraws freehold land offer to China after India's objection

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