DUBAI — Pakistan signed over terminal operations of the Karachi Gateway Terminal Limited (KGTL), better known as the Port of Karachi, in a 50-year concession agreement with the United Arab Emirates' Abu Dhabi (AD) Ports Group on Thursday in an effort by the debt-stricken country to raise critically needed funds and pay back the International Monetary Fund (IMF).
The agreement came through a joint venture (JV) between AD Ports Group, which is the majority stakeholder, and UAE-based Kaheel Terminals, a company created to manage the logistics and operations, according to the announcement by AD Ports Group on Thursday. The two members of the JV signed the agreement with the Pakistan federal government agency Karachi Port Trust (KPT), which oversees operations at the Port of Karachi.
Syed Syedain Raza Zaidi, chairman of the Karachi Port Trust, said the landmark agreement holds “big potential” for the growth of the Port of Karachi.
“By joining forces, we are paving the way for a thriving container terminal that will enhance efficiency, attract investment and stimulate the economy,” he said in a written press statement.
