Biman reports Tk 2.72b profit in FY '19

Biman Bangladesh Airlines has reported a net profit of Tk 2.72 billion in the last fiscal year (FY 2018-19), according to an unaudited financial report of the company.
Biman has automated the ticketing system, taken various steps for improving passenger service, purchased necessary equipments and deployed adequate manpower for on-time flight departure and enhanced monitoring.
"These all contributed to increase the income and improve the image of Biman," State Minister for Civil Aviation and Tourism Mahbub Ali told a press briefing on the overall situation of Biman at the conference room of his ministry on Wednesday.
Ministry secretary Mohibul Haque and Biman Chairman Air Marshal Muhammad Enamul Bari also spoke on the occasion.
The national flag carrier has carried 2.8 million passengers during the FY, but the problem of on-time performance still persists. Biman expected to maintain it at a rate of 85 per cent.
In his statement, Mahbub Ali said Biman earned Tk 57.91 billion and spent Tk 55.19 billion in FY 2018-19. It has paid Tk 530 million against the outstanding charges of civil aviation authority of Bangladesh (CAAB) and Bangladesh Petroleum Corporation (BPC).
Biman made profit in three fiscal years in a row from FY 2014-15 to 2016-17. It registered a profit of Tk 3.24 billion in FY 2014-15, Tk 2.76 billion in 2015-16 and Tk 470 million in 2016-17, but incurred a loss of Tk 2.01 billion in FY 2017-18.
The state minister also said that Biman has earned a staggering Tk 8.15 billion in revenue during the hajj season in the FY 2019-20.
Answering a question regarding the success of curbing corruption in Biman, Mr Mahbub Ali also said that although Biman is governed by a board, everything is under the jurisdiction of the ministry.
So the ministry will take action in every sector along with the measures taken by the anti corruption commission (ACC), he added.
Secretary Mohibul added that Biman has no liability to BPC. Its actual expense for fuel in 2018-19 was Tk 8.50 billion while it paid Tk 2.13 billion to CAAB as charges.
Regarding failure to prepare a route plan for the long haul aircraft like Boeing 787 Dreamliner, he said that actually there is a route plan for Boeing 787, but Biman was unable to compete with the big players of the Middle East like Emirates, Qatar and Saudia airlines due to lack of wide body aircraft.
As 80 per cent passengers of the Middle East route are Bangladeshi migrant workers, they will not travel with any other carrier if they get Biman's aircraft, he added.
"We will operate weekly six flights to London instead of four by Boeing 787 and deploy wide body aircrafts in the Middle Eastern routes. There is a demand for big aircraft for Dammam, Dubai and Medinah for a long time," said the secretary.
He also said that Guanzhou flight operation may be started in October and soon to Medinah.
The authority earlier had a plan to start Guangzhou operation from June after changing the date for three times.
The authority is expected to add in its network five more international stations in the summer schedule of 2019 which starts from March 28 and continues till October.
The priority routes are Guangzhou, Medinah, New Delhi, Colombo and Male. Of those, Biman has been able to resume flight operations to New Delhi only.
The national flag carrier had a plan to expand its air route network and increase flight frequency on both domestic and international routes by 2021.
Earlier, it had submitted a report on its three-year route expansion and flight frequency enhancement plan to the parliamentary standing committee on the Ministry of Civil Aviation and Tourism at its 39th meeting held on September 03 in 2018.
The secretary also said that Biman will operate Dhaka-Seoul-Tokyo flight. Earlier Biman had direct flights in Tokyo.
Regarding the measure taken against the culprits involved in aircraft leasing and corruption, the secretary said the ministry is not a separate entity.
It has six departments. It is not a particular person who should be charged rather the system should be updated for curbing corruption, he added.
On the ever growing control of ministry over Biman and the vacant posts, the secretary said the ministry does not control Biman as it is governed by its board.
Rather it helps Biman in day to day operation whenever needed as it is a company of the ministry which is very normal, he added.
He said the process to fill up the vacant posts is underway. The viva voce of the directors has been held and the final list of candidates for the managing director post is prepared. The ministry will start appointment after Eid, he added.
Regarding the construction of the third terminal of Hazrat Shahjalal International Airport, Mr Mohibul said the tender process has been finalised and awaits approval of JICA.
After its approval, he added, the proposal will be sent to the purchase committee. But the capacity of the third terminal will be saturated by 2040. That's why the Bangabandhu international airport is a must, he said.

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