Loading
28-May-2020 10:56 AM

IATA, AASA and BARSA call for financial relief from South African Government

IATA, the Airlines Association of Southern Africa (AASA) and Board of Airline Representatives of South Africa (BARSA) called (27-May-2020) for South Africa's Government to provide specific financial relief to the aviation sector to address the impact of the COVID-19 crisis. Details include:

  • IATA estimates that revenues generated by airlines in the South African market will decrease by USD3 billion, or 56% year-on-year, in 2020. The association stated this puts 252,100 South African jobs and USD5.1 billion of South Africa's GDP at risk;
  • South African authorities have supported the aviation sector by temporarily suspending airport slot use rules and extending the validity of personnel licences and certifications. Other relief instruments available to the government include:
    • Direct financial support to passenger and cargo carriers;
    • Financial relief on airport and air traffic control charges and taxes;
    • Reductions, waivers and deferrals of statutory taxes and user fees imposed on flights and passenger tickets;
  • The associations also urged the South African Government to ensure all businesses in the tourism sector are considered when allocating funds under the small, medium and micro sized enterprises relief fund.

The organisations stated: "Urgent financial support from the government is needed now to keep the sector alive and ensure that its air transport system emerges fit and capable of fulfilling a crucial role as a primary economic enabler and job creator". [more - original PR]

Want More News Like This?

CAPA Membership provides access to all news and analysis on the site, along with access to many areas of our comprehensive databases and toolsets.
Find Out More