Pakistan has postponed the highly anticipated opening of the New Gwadar International Airport (NGIA), a project valued at nearly $250 million, citing security concerns as the primary reason for the delay.
This sudden decision to halt the inauguration, originally scheduled for August 14th, Pakistan’s Independence Day, has cast a shadow over the country’s efforts to attract Chinese investment amid its ongoing economic crisis. The NGIA is a key component of the China-Pakistan Economic Corridor (CPEC), a $50 billion initiative that has faced numerous challenges since its inception.
Security Fears Delay Inauguration
Prime Minister Shehbaz Sharif was set to inaugurate the New Gwadar International Airport, located near the strategic Gwadar Port, which is central to the China-Pakistan Economic Corridor.
However, just days before the planned opening, the event was abruptly postponed. Local officials cited security concerns as the reason behind this decision, following mass protests in Gwadar that had brought the city to a near standstill earlier this month.
These protests, driven by demands for civil, political, and economic rights for the people of Balochistan, a resource-rich province where Gwadar is located, underscored the volatile environment surrounding the project.
The region has been plagued by a separatist insurgency and deadly militant attacks, which have deterred potential investors and raised concerns about the viability of large-scale infrastructure projects like the NGIA.
The New Gwadar International Airport, funded by China through a grant deal signed in 2015, has faced multiple delays, with this most recent postponement following an earlier one last year.
Despite the completion of all necessary work and arrangements for flight operations, the airport’s opening remains uncertain, with no new date announced.
Economic Viability Under Scrutiny
The delayed opening of the NGIA has reignited concerns about its economic viability. Situated about 45 kilometers from the Chinese-controlled Gwadar Port, the airport boasts a single runway and spans 4,300 acres, making it Pakistan’s largest airport by size, surpassing Islamabad’s main airport.
It is designed to handle large-body aircraft, such as the Airbus A380, and is expected to facilitate direct flights from China once it becomes operational.
However, analysts are skeptical about the airport’s potential to generate significant demand in the short term.
Gwadar’s existing airport, which currently offers only three weekly scheduled flights from Karachi, often faces cancellations due to low passenger numbers. Even with the anticipated direct flights from China, experts warn that the NGIA may struggle to attract sufficient traffic to justify its existence.
“The inauguration of NGIA is symbolic in nature because it is not commercially viable for any airline in the short term,” remarked Afsar Malik, an expert in airline economics. The fear is that the NGIA could become another “white elephant” project, similar to Sri Lanka’s Mattala Rajapaksa International Airport, which has been dubbed the “world’s emptiest international airport” due to its lack of flights.
Challenges and Future Prospects
The challenges facing the NGIA reflect broader issues within the China-Pakistan Economic Corridor. Successive Pakistani governments have touted the multibillion-dollar investment framework as a means to transform Gwadar into a regional hub akin to Singapore.
Yet, progress has been slow, and Gwadar’s potential remains largely untapped.
In a bid to boost activity at Gwadar Port, Prime Minister Shehbaz Sharif recently ordered that half of all sea cargo destined for government agencies be rerouted from Karachi to Gwadar. This move underscores the underutilization of the port, which has yet to live up to its lofty expectations.
The Chinese government, while cautious about future investments in Pakistan due to security concerns, remains committed to the project.
Mohammad Shoaib, an assistant professor at Quaid-i-Azam University in Islamabad, noted that China is likely to play the long game with the NGIA, waiting for Gwadar to develop further before the airport sees significant use. In the meantime, the airport could serve other support missions from China.
However, the local population in Gwadar, which primarily consists of poor fishermen, may not benefit much from the new airport. Air travel remains prohibitively expensive for most residents, leading some to view the NGIA as a facility designed more for government officials, diplomats, and international delegations rather than for the local community.
The postponement of the New Gwadar International Airport’s opening is a significant setback for Pakistan’s efforts to attract Chinese investment and revitalize its economy through the China-Pakistan Economic Corridor.
With security concerns and economic viability in question, the future of the NGIA remains uncertain. As Pakistan grapples with these challenges, the project serves as a reminder of the difficulties faced by developing nations in balancing infrastructure development with local needs and geopolitical considerations.