Rio de Janeiro's Antonio Carlos Jobim International Airport (GIG) will be privatised and modernised as the Brazilian city begins preparations for the 2016 Olympic Games.
Rio de Janeiro in Brazil will be the first South American city to host the Olympic Games.
International Olympic Committee members had criticised the airport during the initial Olympic bidding phase.
The possibility of privatisation was first raised last year by the Governor for the State of Rio de Janeiro, Sergio Cabral.
The State Privatisation Council said the terms and dates for the privatisation will be decided at a later stage.