Airline controller states that the absence of subsidies has led large companies in the sector to restructuring
The CEO of, said that the Latin American air sector is still facing financial difficulties due to the lack of government support during the Covid-19 pandemic. The company is a controller of and the airline of Colombia.
According to him, the lack of subsidies forced large companies to undergo successive restructuring to maintain their operations.
“Remember that Latin America is, again, a poor region of the world … When we passed covid, governments had limited budgets. They had to decide what to do. We did not receive, as a sector in our region, practically no support from the governments. That’s why we see all these large and reasonably successful airlines that had to undergo another restructuring after another.”He said in a panel of the Annual Conference of (International Air Transport Association) held in New Delhi, India.
According to Iata, the region received only 0.2% of all global government aid granted to the air sector during the health crisis.
The scarcity of support had direct consequences, with large companies such as Avianca, aeromasic, goal and resorting to judicial recovery in the United States through Chapter 11.
In Brazil, emergency measures included the extension of ticket reimbursement and the postponement of the payment of fees from airport concessions. However, there was no direct injection of financial resources in the sector during the height of the pandemic.
In November 2024, the Minister of Ports and Airports (Republicans), announced a credit line of $ 4 billion, with release for the beginning of 2025. The measure, however, did not leave the paper and should be postponed to September.
Redator Caio Barcellos traveled at the invitation of Iata.
