Prime Minister Mark Carney is anticipated to propose the concept of allowing private investments in Canadian airports during a presentation to investors in Toronto today, as per a reliable source informed Radio-Canada. The extent to which the government would permit private capital into Canada’s airports remains uncertain, the source revealed. Reports by CTV and the Globe and Mail first brought this news to light, although the source’s identity remains undisclosed due to lack of authorization to discuss the matter publicly, as confirmed by CBC News.
A separate federal source disclosed to Radio-Canada that members of the Liberal caucus gathered on Monday evening to deliberate on airport “modernization.” Nonetheless, the source did not explicitly mention privatization. The government has been hinting at its inclination towards privatizing Canada’s airports since the budget announcement in November. In the spring economic update released in May, the government pledged to introduce legislation to investigate the feasibility of such a move.
Presently, the federal government owns approximately two dozen major airports nationwide, including key hubs such as Toronto’s Pearson International Airport, Vancouver International Airport, Montreal’s Trudeau International Airport, and Calgary International Airport. These airports are leased to non-profit airport authorities tasked with managing their operations. The lease fees generate around $525 million annually, according to the Canadian Airports Council.
The Canada Investment Summit, led by Carney and held in Toronto on Monday and Tuesday, has attracted over 100 top global investors with a targeted goal of securing $1 trillion in investments for about 167 projects across the country in the next five years. Among the attendees are several Canadian and international pension funds, as airports are generally perceived as secure investments by pension funds. Notably, Canadian pension funds like the Canada Pension Plan and Ontario Teachers’ Pension Plan have previously held stakes in private airports overseas.
