EgyptAir considers airfare hike in face of falling pound: chairman
Egypt Air plane - YOUM7 (Archive)

CAIRO: EgyptAir is considering raising its airfares on international flights to cope with the Central Bank of Egypt’s recent increase in the value of the U.S. dollar against the Egyptian pound, Sherif Fathy, Chairman of the national carrier was quoted by Youm7 Wednesday.

“The problem is that the company pays for certain fees, including landing, takeoff, and parking, transit and passing through airspace of a foreign country in U.S. dollar,” said Fathy.

Eighty percent of other services, including maintenance, catering, filling up, buying spare parts and paying installments of Egyptair’s crafts are also paid in U.S. dollar, he added.

“The increase-if there is any- will aim only to cover the new cost of such services but not for making an extra profit,” he added.

Fathy asserted the increase will only be on international flights operated by EgyptAir while airfare of domestic flights will remain unchanges.

In a bid to combat the black market in U.S. dollars and boost exports, the Central Bank of Egypt (CBE) on Monday increased the official value of the U.S. dollar against the Egyptian pound in the official market to EGP 8.85 up from 7.73.

EgyptAir has incurred losses of 10.3 billion EGP ($1.3 billion) since the January 2011 uprising that toppled former President Hosni Mubarak and kept tourists away, Sameh el-Hefny, former EgyptAir Chairman was quoted by Youm7 last year.

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