Philippines begins Manila airport renovation process

The Philippines’ Ministry of Transportation announced the receipt of four competitive bids for the extensive modernization of its main international hub, the Ninoy Aquino International Airport (NAIA), with an estimated budget of 170.6 billion pesos (3 billion dollars).

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Urgent Need for Modernization

Often ranked among the world’s least efficient airports by various travel service firms, the fifth largest airport in Southeast Asia requires significant improvements. The modernization aims to address chronic flight delays and passenger congestion issues that have affected the facility.

Transportation Secretary Jaime Bautista emphasized the importance of the project, stating, «This is a very important government project as we want all our passengers to have a better travel experience. Everyone knows this airport is very congested.»

Bidders in the Spotlight

The bids and awards committee revealed the names of the entities that submitted proposals: Manila International Airport Consortium, Asian Airport Consortium, GMR Airports Consortium, and SMC SAP & Co Consortium.

The Ministry of Transportation is prepared to grant a 15-year concession, extendable for another 10 years, during the first quarter.

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Expanding Capacity

Despite being designed for a capacity of only 32 million passengers, NAIA reached a record of 48 million passengers served in 2019. The modernized facility aims to accommodate at least 60 million passengers per year.

Previous modernization attempts were stalled due to disputes among airport authorities, contractors, and potential bidders.

Known for its white sandy beaches and tropical climate, the Philippines has set a goal to attract 7.7 million foreign tourists in 2024, aiming to revive its tourism sector to pre-pandemic levels and strengthen one of Asia’s fastest-growing economies.