Minister for Transport and Civil Aviation, Mohamed Ameen, stated on Wednesday that domestic fares could be revised once the national carrier, Island Aviation, achieves profitability.
In the first press conference under the new government, the minister, responding to a question from Mihaaru News, expressed his belief that domestic flight fares were excessively high. However, he said that despite the company's low business, there is an imbalance with more employees in the company.
That's why this government has commenced the restructuring of Island Aviation and has initiated changes in operations. This includes the introduction of wide-body operations.
"What happens when we include wide-body operations is that once international operations commence, in addition to the direct profits Island Aviation will reap, the country will receive economic contributions as well. If the capacity of Island Aviation changes, I am very confident that there will be a change. At the same time, I believe that by approaching it in a certain way, we can make a difference in domestic fares at Island Aviation. I will hold discussions with them as well," Minister Ameen said.
“I accept that the fare right now is too high.”
He said that the government will soon work on revising the fares of domestic flights.
Minister Ameen, who previously served as the Director of Flight Operations, mentioned that until 2018, Island Aviation operated on profit rather than tax money. However, during the recent transition phase, they found that the company's business had significantly declined, he said.
"The seaplanes and airplanes they use are not being utilized for trips."
There has always been a lot of criticism due to the fact that the cost of domestic flights is much higher than in foreign countries.
In 2019, the Maldivian reduced the cost of domestic flights as promised by President Ibrahim Mohamed Solih's government. At that time, the cost of travel to all destinations was reduced to be lower than MVR 2,600. However, since then, prices have increased with changes in the prices of various services.