J.BAT-ERDENE: IT IS IMPORTANT TO REDUCE STATE PARTICIPATION IN AIR TRANSPORT SECTOR

Ulaanbaatar /MONTSAME/ A consultative meeting of aviation sector under the theme ‘Air Transport Liberalization, Reform of Civil Aviation’ began today to define ways to tackle pressing issues in the sector and make recommendations and submit to decision-makers. Reducing state participation in the air transport sector and pursuing liberalization policy will give big stimulus to the sectorial development and reform, stated the organizers. "We are facing urgent need to make liberalization in air transport sector and upgrade its legal environment. Specifically, government needs to amend Law on Civil Aviation, render policy support to broadening international airline cooperation and raising number of flights and frequency to some routes. Whereas it is important to reduce state participation in conducting flights and supply of aviation fuel, giving chance to private companies and creating competition. As a result of the actions it would be possible to decrease aviation fuel price," said Minister of Road and Transport Development J.Bat-Erdene. Moreover the Minister also mentioned about need of improving governance of MIAT Mongolian Airlines and possibility of privatizing 49 percent of the national airlines. " The new airport in Khushig Valley will be put into operation soon. As a result of maintaining liberalization policy in the air transport field, it is possible to decrease ticket price by 20 percent,” the Minister underlined in his speech. The Ministry of Road and Transport Development plans to establish a state-owned company that integrate airports in capital city and in rural area, to have a Program to develop General purpose Aviation to be implemented in 2018-2021 and to reduce or exempt from land service tariff on entities that opened a new flight route until the flight gets stabilized. A consultative meeting is continuing. B.Batchimeg