*** Continue budgetary support for Gulf Air: MP | THE DAILY TRIBUNE | KINGDOM OF BAHRAIN

Continue budgetary support for Gulf Air: MP

Manama : An MP yesterday called for reconsidering the move to cut off financial support to the Kingdom’s national carrier.

Commenting on reports indicating that no funds will be allocated to support Gulf Air in the State Budget, MP Khalid Al Shaer insisted on the importance of backing the airlines, especially when its board of directors was changed less than two months ago. 

“The new board should be given the opportunity to fulfil its promises to make positive and drastic changes by the end of 2018,”Al Shaer said in a  statement  issued  yesterday.

 “The Government and the House of Representatives should not let go of Gulf Air at this crucial point,” Al Shaer said, adding that such a move would harm the national economy. 

“Gulf Air is a national asset and benefits the national economy a lot. Supporting it is very important at this juncture,” Al Shaer said in the statement.

Al Shaer, who’s also the Deputy Chairman of the Council’s Legislative and Legal Affairs Committee, highlighted in his statement that the company is taking serious measures to increase its revenues and overcome deficit, such as launching new destinations and joining an agreement that exempts its employees from paying visas, “a step that is expected to annually save BD76, 000”, Al Shaer affirmed.

The MP also noted that Bahrain’s national carrier annually contributes  around  eight  per cent  to the national economy.          

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Stressing his rejection to the intentions to stop financial support to Gulf Air, Al Shaer added, “The company has only requested BD100 million out of the state budget against around BD300 million of financial responsibilities, debts and losses. The company has efficiently reduced its losses by around BD180 million in the past four years. Gulf Air pumps direct and indirect revenues worth hundreds of millions of dinars into the Kingdom’s economy.”

Al Shaer’s statements come while the Economic and Financial Affairs Committee in the Council discusses approving the State budget with Finance Ministry and other governmental authorities.