Minister: Low demand remains key challenge to lowering domestic airfare

Tourism and Civil Aviation Minister Mohamed Ameen states that the low demand, coupled with high operational costs, remain a key challenge to reducing domestic airfare on the Maldives.

Ameen, who was summoned to the Parliament on Tuesday morning, was questioned regarding the domestic airfare by Kendhoo MP Mauroof Zakir, a politician from the main opposition Maldivian Democratic Party (MDP).

Responding to the question, Ameen said that the national carrier, Maldivian, continues to face operational challenges.

He said that while the ATR aircrafts used by Maldivian in its domestic fleet has a stellar international reputation for being safe, the operational costs for the aircrafts are steep.

“Even now, the ticket prices aren’t high when considering the high engine maintenance and operational cost compared to the demand or the number of passengers in the Maldives,” he said.

He also pointed out that while the rise in global fuel prices have prompted international airlines to hike ticket prices by 30-40 percent, the Maldivian administration continues to maintain airfares at the same rate in order to prevent citizens from having to take on the additional financial burden.

Highlighting on efforts to develop the national airline, Ameen said that Maldivian was close to closing a deal on procuring a second wide-body aircraft to add to its international fleet.

Ameen estimates the aircraft will be operationalized next year.

The high domestic airfare has been a key cause of concern for years, with ticket prices from Male’ to some of the islands in the south equivalent to travel to overseas destinations.