The Competition Commission of Pakistan (CCP) commends and supports the decision taken by the Ministry of Defence (MoD) to allow the Gulf-based private airline, Fly Dubai, to operate flights on the sector Dubai-Karachi-Dubai in competition with the local airlines of Pakistan. This will encourage competition among airlines flying on this route, and will allow consumers more choices in terms of quality, fares and schedules. The decision of MoD is encouraging particularly in light of a Policy Note issued by CCP to the federal government on 18 May 2010 recommending that the bilateral Air Services Agreement of 1972 between Pakistan and Saudi Arabia be amended to address competition concerns. The Commission holds that preventing new airlines from commencing operations will not only reduce the choice available to Pakistani passengers but it will also discourage the national carrier from improving its services and employing its resources efficiently.
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