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Gov’t committed to supporting RJ — Ensour

By Petra - Apr 05,2014 - Last updated at Apr 05,2014

AMMAN — The government is committed to supporting Royal Jordanian (RJ) to enable it to continue its role as the Kingdom’s flag carrier, Prime Minister Abdullah Ensour said Saturday.

During a visit to RJ, where he met with its chairman Nasser Lozi and CEO Amer Hadidi, Ensour stressed the importance of supporting the airline as it continues to be one of the major backbones of Jordan’s economy.

The premier, who was accompanied by Finance Minister Umayya Toukan and Social Security Investment Fund Chairman Suleiman Hafez, was briefed on the challenges facing the airline in light of the current security and political situation facing the region.

Lozi said that overall air traffic to and from the Middle East is declining, especially due to the increase in the prices of fuel derivatives, which has “noticeably” raised operational costs during the last three years.

He also highlighted the company’s strategic plan to deal with the difficulties, namely conducting a feasibility study of routes, enhancing its competitiveness and reducing additional operation costs incurred by Queen Alia International Airport.

Ensour stressed the need for RJ to work at its full capacity to improve its services, increase revenues, cut expenses and reconsider its routes to overcome challenges.

The visit came on the heels of a government decision to increase its capital share in RJ by JD50 million, and after the announcement of the findings of the Privatisation Evaluation Committee, which showed that the airline’s privatisation plan is in line with the best international practices and transparency standards.

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