The International Air Transport Association has once again called on Bangladesh to immediately release $196 million in blocked revenues owed to foreign airlines, highlighting that the restriction contravenes international agreements.
In a press release issued on Monday, IATA 鈥攔epresenting around 340 airlines, accounting for 80 per cent of global air traffic 鈥� warned that the situation remains critical, with airlines unable to repatriate their earnings.
Bangladesh has reduced its blocked funds to $196 million from $320 million in April 2024.
However, the central bank must prioritise foreign airlines鈥� access to foreign exchange in alignment with its international treaty obligations, the statement emphasised.
The association also pointed to Pakistan as the leading country blocking airline revenues, with $311 million currently withheld, down from $411 million in April 2024.
Bangladesh ranks second.
IATA also revealed that nine countries account for 83 per cent of the industry鈥檚 blocked funds, amounting to $1.43 billion.
Globally, airline funds blocked by governments amounted to $1.7 billion at the end of October 2024, a marginal decrease from $1.8 billion reported in April 2024.
The report noted significant reductions in blocked funds in Pakistan, Bangladesh, Algeria, and Ethiopia over the past six months.
However, IATA director general Willie Walsh criticised the ongoing issue, describing it as a 鈥榞ame of whack-a-mole.鈥�
鈥楪overnments must remove all barriers preventing airlines from repatriating revenues from ticket sales and other activities, as required under international agreements and treaty obligations,鈥� Walsh said.
He warned that restricted access to funds threatens aviation connectivity, which is vital for economic growth.
Walsh said, 鈥楴o country wants to lose aviation connectivity, which drives economic prosperity. But if airlines cannot repatriate their revenues, they cannot be expected to provide a service.鈥�
