IATA encourages the Government of Ecuador to eliminate taxes

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The International Air Transport Association – THERE IT IS proposed to the Government of Ecuador the removal of taxes EcoDelta e ISD to reduce the value of tickets and stimulate demand.

During the official visit of Peter Cerdá, Regional Vice President for the Americas of IATA, the organization urged the Ecuadorian authorities to create the conditions that allow air transport to facilitate the reactivation of the country through tourism and exports by air.

In this sense, several improvements have been proposed in the field of government responsibilities, how is the removal of EcoDelta, proposal that this blog has been promoting for several years, as a key point so that more Ecuadorians can fly abroad, making the country more attractive due to the increase in traffic.

Among the recommendations of THERE IT IS stand out:

• Promote a strategic vision for the development of civil aviation through a national plan that allows a better return on investment in airport infrastructure in the medium and long term.
• Improve air connectivity to the country to benefit the movement of passengers and air cargo
• Eliminate the EcoDelta tax charged on air tickets issued in Ecuador.
• Eliminate the currency exit tax
• Mejorar la competitividad de costos operativos —tasas y costos de navegación aérea— en el Ecuador

Regarding the elimination of the ISD, it is a key point to be able to start a negotiation of Open skies with the USA, which in turn will also generate a reduction in the values ​​paid by passengers.

During the press conference held in Quito, Cerdá specified:

“The Ecuadorian state has been aware of the importance of implementing international best practices to reactivate flights and one of the first countries to provide flexibility to already vaccinated passengers.. Now the country is at a unique juncture to use its economic and social stability so that air transport is the cornerstone of the country's socioeconomic reactivation. For this, it is necessary that there is a reduction in the tax burden that allows the enormous contribution that the sector makes to its economy and its inhabitants to be strengthened”.

THERE IT IS recordó el valor que aportaba la aviación antes de la pandemia —231,000 empleos directos e indirectos y US$3,400 millones de contribución al producto interno bruto. in addition, proposed to stimulate the growth of air transport through the elimination of taxes (echo delta and currency output) It is estimated to generate around 70,000 new jobs and almost US$990 million in additional economic contribution.

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