CAPA Iran Aviation Finance Summit opens in Tehran

News ID: 3772458 -
TEHRAN, Sep. 18 (MNA) – The CAPA Iran Aviation Summit opened today in Tehran with attendance of Iranian road minister as well as local and foreign aviation industry directors.

Speaking at the event, underway in Novotel Imam Khomeini International Airport, Iran’s Minister of Roads and Urban Planning Abbas Akhundi pointed to various investment models in aviation industry saying “Build-Operate-Transfer projects (BOT) and Build-Lease-Transfer (BLT) agreements have been put on Iran’s agenda while long-term leasing remains as yet another possibility for the country.”

“Leasing marks a significant strategy in supplying fleet and expansion of aviation industry infrastructure,” highlighted the official voicing Iran’s support for domestic and foreign leasing firms.

Abbas Akhundi also noted that a number of leasing firms are planned to be established in the aviation industry; “despite the momentousness of leasing issues, Iran’s Ministry of Roads and Urban Planning would back all possible investment models in the country’s aviation industry.”

More than 60 airports are active inside the country while 80 per cent of flights are being operated from only 10 airports, “given that few airports are offering services in excess of their standard capacity, Iran is all set to attract investment to develop airports.”

Akhundi outlined making progress as a top priority for the country’s aviation industry since Iran offers an open and safe air space to all international flights.

“Market liberalization and the abolition of aviation industry's pricing system is yet another advantage of the Iranian industry,” said the official noting that the liberalization of prices led to a 22% growth in the number of passengers in the first five-months of the current Iranian calendar year (March 20), a figure which reveals the high capacity for expansion of aviation industry as well as the importance of competition factor in boosting welfare of people.

Road Minister Akhundi went on to add that extensive measures have been taken to develop infrastructure for aviation industry as all navigation systems are now being renovated with an investment worth 250 million dollars.

The official underscored that Iran’s aviation market has been shaped in the basis of international standards and concepts of capital adequacy and technical competence are required to boost competition among similar companies; “the capital adequacy for establishment of aviation companies has been defined at 100 million dollars,” he concluded.

Following the success of the historic CAPA Iran Aviation Summit shortly after sanctions were lifted in Jan-2016, Iran’s aviation authorities have invited CAPA back to hold a unique follow-up event on 18-19 Sep-2016, combining an Aviation Finance Summit and small onsite exhibition.

Representatives of Canada’s aerospace and transportation company Bombardier and Brazil’s aerospace company Embraer were among 160 delegates from 35 countries attending the Tehran aviation summit on Sunday.

HA/3772359

Comments

  • 2016-09-18 20:18
    Business is business, and there's money to be made in Iran.

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