A consortium comprising Shaurya Aeronautics (Pvt) Ltd from India and Airports of Regions Management Company from Russia has been entrusted with the management of Sri Lanka's Mattala Rajapaksa International Airport in Hambantota, as announced by the government spokesman on Friday.
The airport, with an estimated value of USD 209 million, had previously gained notoriety as the "world's emptiest airport" due to its underutilization and lack of flight activity.
The decision to engage potential parties for the management of the airport was approved during a Cabinet meeting on January 9, with the government spokesman, Minister Bandula Gunawardena, confirming the receipt of five proposals. Following deliberations by the Cabinet-appointed consultative committee, it was determined that the contract for a 30-year management period would be awarded to Shaurya Aeronautics (Pvt) Ltd of India and Airports of Regions Management Company of Russia.
The proposal put forth by the Minister of Civil Aviation and Airport Services received the green light from the Cabinet, signaling a significant development in the operational future of the Mattala Airport, named after former President Mahinda Rajapaksa.
Initially conceived as a flagship infrastructure project under Rajapaksa's administration, the airport's construction was financed primarily through loans from the Exim Bank of China, totaling USD 190 million of the total cost.
Given the airport's history of financial losses since 2016, the decision to seek commercial partners for its management aligns with the government's efforts to mitigate ongoing financial burdens associated with its operation.
