Foreign airlines operating flights from and to Bangladesh cannot take back their earnings from air ticket sales to their own country due to the ongoing dollar crisis. Hence, they are selling air tickets at higher prices.
Instead of selling air tickets through GSA (general sales agent), they are now preferring overseas OTA (Online Travel Agency) for ticket selling to prevent their earnings from getting stuck, according to sources at the aviation industry.
The International Air Transport Association (IATA) has recently issued a letter to the authorities concerned urging them to expedite the payment of the outstanding dues to foreign airlines. They owe over $323 million stuck in Bangladesh.
However, the central bank of Bangladesh has cited lack of valid documents as the reason behind the delay in repatriating their earnings.
Spokesperson of Bangladesh Bank Md. Mezbaul Haque told journalists that everyone must follow the rules of the central bank. Upon receiving all required documents, we provide the clearance for receiving their payment.
Aviation experts said that the air carriers of the neighboring countries are benefiting from such a situation as passengers are now opting for their flights.
The price of a return air ticket to the USA has risen to Tk 150,000 and above while it was around Tk 100,000 four years ago. A similar trend has been observed for flights to Middle East countries.
However, air fare for similar routes from the neighboring countries, has remained lower.
Aviation expert Kazi Wahidul Alam said, “This is the second letter IATA has sent to Bangladesh and several other countries. Due to the dollar crisis, such situation has arisen where air fare is increasing and our passengers are paying extra money.”
Association of Travel Agents of Bangladesh (ATAB) president Abdus Salam Aref told the Bangladesh Post that due to the dollar crisis, the authorities concerned are facing problems in paying their bills and that is why the amount of arrears has increased in the last one year and a half.
He further said that students of the country are suffering the most while travelling to foreign countries due to air fare hike.
Contacted, Civil Aviation Authority of Bangladesh (CAAB) Chairman Air-Vice Marshal M Mafidur Rahman said, “It’s true that foreign airliners owe a big amount of money. But payment of their dues remain stuck due to dollar crisis.
He, however, said that the situation has started to improve and many of foreign airlines are now getting their money.”
