NA passes two bills, including amendments to Airports Authority, Financial recovery laws

The National Assembly on Monday passed two bills, including the Pakistan Airports Authority (Amendment) Bill, 2026 and the Financial Institutions (Recovery of Finances) (Amendment) Bill, 2026

ISLAMABAD, (APP - UrduPoint / Pakistan Point News - 18th May, 2026) The National Assembly on Monday passed two bills, including the Pakistan Airports Authority (Amendment) Bill, 2026 and the Financial Institutions (Recovery of Finances) (Amendment) Bill, 2026.

The Pakistan Airports Authority (Amendment) Bill, 2026, was tabled in the House by Federal Minister for Parliamentary Affairs Dr. Fazal Chaudhary.

According to the statement of objects and reasons, the Aviation Division was merged into the Defence Division in February 2025, while the Aviation Division/Ministry is still reflected in the Pakistan Airports Authority Act, 2023 (XLV of 2023). It notes that the Secretary Defence serves as chairperson of the Pakistan Airports Authority (PAA) Board, and to ensure continuity, it is considered appropriate to in clude another senior officer of the Defence Division on the Board.

The bill also allows board decisions through circulation in emergency situations with a higher majority threshold, where convening meetings on short notice may not be feasible.

It further proposes changes to the Executive Committee of the PAA, replacing representation from the Finance Division with a representative of the Defence Division and including the Director of Finance of the PAA.

The amendment also seeks to broaden eligibility for the post of Director General of PAA, allowing appointment from the private sector in addition to public servants, with qualifications to be detailed in the rules.

It further proposes the removal of restrictive clauses affecting delegation of powers within the Board, aimed at improving operational flexibility.

The bill also introduces conflict-of-interest safeguards and cooling-off provisions for officers and decision-makers involved in contracts, slot allocations, and other commercial functions of the authority.

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In addition, it addresses delays caused by mandatory gazette notifications of administrative “airport orders” issued by the Director General, proposing procedural simplification for faster implementation, along with correction of identified drafting errors in the Act.

Meanwhile, the Financial Institutions (Recovery of Finances) (Amendment) Bill, 2026, was also passed by the House. According to its statement of objects and reasons, the amendments aim to strengthen the legal framework governing the recovery of finances under the Financial Institutions (Recovery of Finances) Ordinance, 2001, by introducing procedural improvements and enforcement mechanisms.

The bill seeks to ensure timely recovery of dues, fair treatment of mortgagors, and more effective enforcement of secured interests.

It further clarifies the conditions under which injunctive relief may be granted by Banking Courts to prevent misuse of legal provisions, while also safeguarding bona fide leaseholders.

A key feature of the amendment is a mechanism allowing financial institutions to seek assistance from relevant authorities for possession of mortgaged property, aimed at improving enforcement efficiency.

The bill also provides legal protection for actions taken in good faith, increases penalties for certain violations, and updates legal references for consistency.

Overall, the legislation aims to balance the rights of financial institutions and borrowers, strengthen secured lending practices, reduce non-performing loans, and improve the overall credit environment in the country.

APP/zah-sra