Incheon International Airport Corp. to offer W50b in aid to local aviation sector

The country’s main gateway operator, Incheon International Airport Corp., said Sunday that it would offer 50 billion won ($40 million) worth of aid to cash-strapped local airliners suffering the economic impact of COVID-19.

IIAC said it had met Friday with officials from seven air carriers -- Korean Air, Asiana Airlines, Air Busan, Air Seoul, Jeju Air, Jin Air and T’way -- to introduce its new incentive programs and cooperative measures for airliners.

For air carriers, IIAC said it would support landing charges for up to two years for newly launched routes and air carriers. 

The operator will also support 100 percent of landing fees for all flights that depart or arrive late at night. 

To achieve a recovery in passenger numbers, IIAC said it would pay 10,000 won per passenger and would fully cover the increased landing fees. This assistance will amount to about 40 billion won, it added. 

In a separate aid program, IIAC said it would offer 17.8 billion won in incentives for air carriers with an outstanding annual performance so they can improve their cash flow and fiscal health. 

Last year, IIAC has offered some 12.8 billion won worth of incentives to passenger airliners and set aside 5 billion won for cargo service air carriers.

“Amid the unprecedented economic downturn due to COVID-19, IIAC has newly introduced this incentive program for air carriers so we can overcome the crisis together. We will do our best to bring about a recovery in passenger numbers and in the overall aviation sector soon,” said IIAC CEO Koo Bon-hwan. 

By Kim Da-sol (ddd@heraldcorp.com)