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The Ghana Airports Company Limited (GACL), has waived rent for all airline offices at the Kotoka International Airport (KIA) and the regional airports for the second quarter of the year.
This will help reduce the challenges faced by the airlines due to the COVID-19 outbreak.
The GACL has also waived various aeronautical charges—landing, parking, and lighting—for the same period.
For concessionaires at the KIA and all regional airports, the GACL has also waived rent and royalty payments from April-June.
The rents of other tenants at the various ports have also been waived for the second quarter. These tenants include gift shops, restaurants, forex bureaus, and others that have stores or businesses at the various airports.
Though the move will reduce revenue, sources say the GACL believes that supporting airlines in these difficult times is an investment which it will reap from in the future.
Meanwhile, the Aviation Ministry is expected to soon announce measures to reduce the effect of the pandemic on airlines. This is coming after presentations made by the BARGH.
The current pandemic has almost brought the aviation sector to its knees. Major airlines have let some employees go while others are asking governments for bailouts.
The International Air Transport Association (IATA) estimates that the pandemic could cost the industry about US$250bn this year.
According to IATA, worldwide flights were 70% lower at the start of the second quarter of this year.
IATA predicted a further decline as restrictions rise in several regions. It stated that though airlines have little or no revenue coming in, they have to spend about US$60bn in the second quarter, as “some costs cannot be avoided and ticket refunds [are] also burning cash.”