THE Spanish government has announced an aid plan for airlines in the wake of the coronavirus crisis.
The airlines’ economic situation has been worrying the government, which is why it announced an aid plan that will materialise in the coming days, as confirmed by the Minister of Transport, Jose Luis Abalos.
“The government is preparing a package of strategic aid for airlines, as we have already started assessing their economic needs and will respond to them in the coming days,” he added.
The 60-year-old has yet to specify the exact amount but has expressed the executive’s concern for the sector which has come to a grinding halt since mid March.
Unlike other European countries, Spain has still not provided any support for its airlines, such as Iberia and Vueling.
“They have received between €1.5 and €1.8 billion from the ICO, but that is not enough”, Abalos added.
“They need more because the damage to the sector is so great, hence a specific plan is being worked out to help them.”
A major part of the economic problem for the airlines is the fact that they have had to issue numerous refunds for cancelled flights, as part of EU rules.
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“The companies know that they have an obligation to refund tickets and that they have to pay up.”