Ecuador, domestic airfares may increase 15 to 20 percent

Posted on December 6, 2011 • Filed under: Economy, Ecuador, Latin America Aviation, Oil, TRAVEL

The Ecuadorian government and the airlines will agree that a rise in rates, after President Rafael Correa confirmed the removal of fuel subsidies to aircraft at airports under concession from the first of January 2012. This decision will mean savings for the State of about $ 90 million and would be detrimental to the airports of Quito, Guayaquil and Cuenca, on the other hand, in other air stations run by the state subsidy will be maintained with an outflow of U.S. $ 5 to $ 6 million annually to the Treasury, but in five years this benefit will be phased out. Read Article
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RELATED ARTICLE – OPINION PIECE ON ELIMINATION OF FUEL SUBSIDY FOR AIRLINES

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