Thursday, 26 March 2020

ASIA: Association Of Asia Pacific Airlines Cries Out To Government For Financial Bailout

The Association of Asia Pacific Airlines calls on governments to provide financial support for airlines to weather the Covid-19 storm.

APPA says air travel in the Asia Pacific is virtually grinding to a halt due to the travel bans, border closures, lockdowns, quarantine and isolation orders imposed by governments.

Representing the interests of hundreds of airlines in the Asia-Pacific, APPA calls on governments to rapidly implement emergency relief measures.

Association of Asia Pacific Airlines Advice

Suspend payroll taxes, defer or reduce income taxes, the extension of payment terms, waiver of ticket taxes & other government levies, taxes, dues and charges for 2020.

Direct financial support for reduced revenues and liquidity support due to travel restrictions

Extend interest-free loans or loan guarantees, and support for corporate bond markets either directly or to commercial banks to extend credit for affected companies.

Direct financial support needed for individuals facing the loss of livelihood.

AAPA urges all Governments to take immediate action to address the societal impact of the world’s worst public health crisis in a century.

Asian airlines are facing revenue shortfalls of upwards of USD60 billion this year as a result of sharp falls in demand which have already forced the grounding of over half of the fleet.

Many of the 1 million workers employed in the Asia Pacific airline industry are unable to work because of the drastic reductions in operations. Many are facing the threat of a loss of their livelihoods.

The sharp reductions in passenger services have also drastically reduced available air cargo capacity affecting critical supply chains, including getting food and medical supplies to affected communities worldwide.

Asian airlines are continuing to operate dedicated freighter services but need help in streamlining operations, scheduling, and crew clearances to keep critical goods moving as a lifeline.

APPA claims the World Health Organisation (WHO) is providing strong leadership in coordinating the global public health response and notes that this is the first pandemic we can control if all countries and sectors come together.

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