The signing of the deal comes after NAIA made headlines for a rat sighting and its bed bug-infested rattan chairs.

In the hopes that the rehabilitation and modernization of the Ninoy Aquino International Airport (NAIA) can increase the number of annual passengers from 35 million to 62 million, the Philippine government has signed a landmark concession deal for the airport public-private partnership (PPP) project. 

The deal was signed by the Department of Transportation (DOTr) and SMC-SAP & Company Consortium, according to a report by GMA News. President Ferdinand “Bongbong” Marcos Jr. was present to witness the signing. 

According to the president, he hopes that the rehabilitation and modernization of NAIA will not just cover its external appearance. 

“It requires major overhaul such as the rehabilitation of the passenger terminals, the airsight facilities, the development of commercial assets and utility systems, the provision of intermodal and inter terminal transport facilities,” he said. 

What You Should Know About SMC-SAP & Company Consortium

SMC-SAP & Company Consortium previously won the bid for the NAIA PPP project worth PHP 170.6 billion. This is due to the consortium offering the government the highest share of future revenues stemming from airport operations. 

SMC-SAP & Company Consortium is made up of the following:

• San Miguel Holdings Corp
• RMM Asian Logistics Inc.
• RLW Aviation Development Inc.
• Incheon International Airport Corp

How NAIA’s Rehabilitation Can Benefit Business

President Marcos noted that the airport’s current state and its delayed rehabilitation has resulted in delayed and reduced flights. This, according to the president, has an effect on the country’s economy. NAIA’s upcoming rehabilitation and modernization are expected to turn things around not just for the airport, but for the economy as well. 

DOTr Secretary Jaime Bautista said in a statement that the rehabilitation project is expected to bring new opportunities to the Philippines, especially in terms of business, investments, and even employment. 

“We welcome this development for the NAIA PPP Project as this will not only generate revenue for the government, but it will also create opportunities for Filipinos,” said Bautista. “With a modernized NAIA, we are elevating the airport’s facilities and services to international standards.”