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Egypt to stop airport subsidies this autumn

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But Egypt may increase subsidies to cultural destinations
Egyptian government subsidies paid to airlines flying to Sharm el Sheikh and Hurghada airports are set to end on October 31. The decision was made as a result of growing tourist numbers to Red Sea destinations, said Khaled Ramy, the newly appointed minister of tourism.
However, they will remain in place for the country’s airports that serve its more cultural destinations, in a bid to help them boost visitors.
“I won’t change anything until October 31 this year. It was a promise made by my predecessor that we would continue subsidies or incentives on flights from all destinations into our destinations,” he said. “The subsidies to Luxor, Aswan, Marsa Alam and Taba airports will remain. The subsidies to Sharm and Hurghada – they have to stop because these two destinations are doing very well and in the winter I think they will do much better.”
Ramy added that the government could even increase subsidies to its cultural destinations.
“What we’re hoping to do is get more people into the Nile valley – we will keep the subsidies and most likely it will be a little bit more.”
He said he was also hoping to remove the third-party operator’s fee, which is levied when an airline does not fly direct to the country but via an additional airport. He believes the fee – around $4,000 for a Boeing 787 – is prohibitive for airlines such as Ryanair, adding: “What we really need is open skies all over Egypt.”
TTG Digital

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