Nepal approves PPP for international airport operations

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Nepal's Ministry of Finance has approved the use of a public-private partnership (PPP) model to operate Gautam Buddha International Airport (GBIA) in Bhairahawa, currently under construction. This was proposed by the Ministry of Culture, Tourism and Civil Aviation (MoCTCA) around six months ago.

Construction is scheduled to be completed in June 2019, after which Letters of Intent (LoI) will be requested from interested companies. The Civil Aviation Authority of Nepal (CAAN) will operate the airport until the tender for the PPP contract is completed. 

The distribution of profit between the selected private airport operator and the Nepali Government will be discussed after receiving applications.

Gautam Buddha will also become Nepal’s second international airport. Critically, it will serve as an alternate international air transport point in the event of poor weather conditions or natural calamity shuts down the Tribhuvan International Airport (TIA), at present the only international airport in the country.

List of the country updates

Country updates

  • April 24, 2018

    Officials from the Ministry of Culture, Tourism and Civil Aviation have recommended that the project be developed under the PPP model

  • January 22, 2018

    The Ministry of Culture, Tourism and Civil Aviation (MoCTCA) has proposed to develop the project either under a Public-Private Partnership (PPP) model or an Engineering, Procurement, Construction and Finance (EPCF) model

    The Ministry of Culture, Tourism and Civil Aviation (MoCTCA) has proposed to develop the project either under a Public-Private Partnership (PPP) model or an Engineering, Procurement, Construction and...

    Read more
  • December 13, 2017

    Nepal government considering airport PPP

    The government of Nepal is considering partnering with the private sector to operate Gautam Buddha Airport in Bhairahawa, south-central Nepal.

    Read more
  • June 05, 2017

    Nepal to develop a hydropower plant under PPP

    Investment Board Nepal (IBN) has announced it is considering to develop a hydropower project under a PPP model with a mix of domestic and international investments.

    Read more
  • November 25, 2016

    Nepal cancels $1 billion expressway project with IL&FS Infrastructure

    The Government of Nepal, han canceled a UD$1 billion expressway project with Infrastructure Leasing and Financial Services Ltd (IL&FS).

    Read more

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