Recession-hit aviation sector seeks government support
Wednesday, 22 April 2009
Airlines Association of Bangladesh (AAB) has sought some facilities in the next national budget as the country's aviation sector is passing through a troubled time due to the global economic downswing, reports UNB.
AAB demanded facilities like bank loans with 4 per cent interest rate, waiving of charges for landing, parking and navigation for the next three years apart from a five-year tax holiday.
The demands were placed to Finance Minister AMA Muhith recently when AAB members met him at his office. "The Finance Minister has assured us that the government would provide some facilities for the aviation sector in the next national budget," AAB convener M Haider Uzzaman said.
He said the finance minister also assured them of keeping a provision in the budget for minimum tax from them in lieu of the current corporate tax.
Earlier, the AAB, grouping GMG Airlines, United Airways, Best Air and Aviana Airways Ltd, had sought a Tk 1,000 crore stimulus package to overcome the fallout of the global recession, but has failed to get attention of the government.
Haider, also the chairman of Best Air, said it would be very tough to save the aviation sector of the country without having any policy or financial assistance from the government.
"We're already in a deep trouble with huge debts as traffic flow has gone down. If we want to survive in the recession, we need government support," he said.
He said the country's private airliners have already suffered a loss of hundred crore taka because of unusual surge in fuel prices last year.
AAB demanded facilities like bank loans with 4 per cent interest rate, waiving of charges for landing, parking and navigation for the next three years apart from a five-year tax holiday.
The demands were placed to Finance Minister AMA Muhith recently when AAB members met him at his office. "The Finance Minister has assured us that the government would provide some facilities for the aviation sector in the next national budget," AAB convener M Haider Uzzaman said.
He said the finance minister also assured them of keeping a provision in the budget for minimum tax from them in lieu of the current corporate tax.
Earlier, the AAB, grouping GMG Airlines, United Airways, Best Air and Aviana Airways Ltd, had sought a Tk 1,000 crore stimulus package to overcome the fallout of the global recession, but has failed to get attention of the government.
Haider, also the chairman of Best Air, said it would be very tough to save the aviation sector of the country without having any policy or financial assistance from the government.
"We're already in a deep trouble with huge debts as traffic flow has gone down. If we want to survive in the recession, we need government support," he said.
He said the country's private airliners have already suffered a loss of hundred crore taka because of unusual surge in fuel prices last year.