Air travel up 10% after 17.5% VAT removal

Mrs Cecilia Abena Dapaah, Minister of Aviation, has told Parliament that the removal of the 17.5% VAT on domestic airlines has reduced domestic air fares which have, in turn, resulted in an increase in the number of passengers by 9.64% as compared to 2016.

The minister was answering a question posed by Member of Parliament (MP) for Adaklu, Kwame Agbodza, on the floor of the House on Tuesday 26 June 2018.

“Domestic passengers from May to December 2017 were 323, 754 as against 295, 278 passengers for the same period in 2016 representing an increase of 9.64%,” she said.

She also informed the house that local entrepreneurs and prospective investors such as Baby Jet Airlines, among others, have advanced plans to commence domestic operations soon.