According to the minister, cancellations of international flights have already reached 50% and domestic flights at 30%, measures will be announced next Monday.
According to Infrastructure Minister Tarcísio de Freitas, airlines have canceled 50% of international flights and 30% of domestic flights. As the number of coronavirus cases increases, fear grows among people. More and more passengers are canceling their trips. As a result, airlines are canceling their flights.
According to the minister, the situation is likely to worsen over the next two weeks. The number of international flights cancelled could reach 70% and, in the case of domestic flights, 50%.
Due to this reduction in flights, airline revenue is falling sharply. And on Monday (16), several measures will be announced to contain and prevent the financial decline of companies.
Measures for companies' finances
- The government must suspend the payment of airport fees, with the aim of relieving companies' cash flow in the short term.
- There will be a three-month suspension of the payment of PIS-Cofins and social security contributions by airlines; the amount not paid in these three months will be paid from October.
- By then, the expectation is that the government will have already defined long-term credit lines so that companies will be able to withstand the effects of the drop in revenue due to the coronavirus pandemic.
- Next week, the government is expected to announce working capital financing lines for these companies to be granted by Banco do Brasil, Caixa and BNDES.
- Refunds to passengers who cancel trips will be made within 12 months, and not immediately, as is currently the case.
Minister Tarcísio de Freitas also stated that the concern is not only directed at large companies that operate national and international routes. Assistance will also be provided to small companies operating regional flights.
The aim is to avoid cancelling routes to more remote regions of the country, so as not to harm populations further away from major centers.