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Aviation officials consider 100 percent fare hike

by Zamaneh Media
February 28, 2013
in Latest Articles
Reading Time: 1 min read
0
Aviation officials consider 100 percent fare hike

Head of Iranian Airlines Association announced that they have made an application to increase airfares by 100 percent if the government fails to offer appropriate subsidies to the airline companies.

Abdolreza Mousavi told ILNA on Wednesday that airline companies have not received any foreign currency at the subsidized rate in the past six months and the Supreme Council of Aviation is now examining a proposal to increase airfares by 100 percent.

The association had already announced that due to lack of foreign currency sources, they have taken many airplanes of the fleet out of service.

The airline companies are facing higher costs also because of the rise in the price of fuel and the airfares were already increased by 65 percent last November.

Scrapping of government subsidies on fuel and food coupled with international sanctions on Iran's oil and financial sectors has led to unprecedented hike in the inflation rate.

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