Iranian airlines cap ticket prices for domestic flights

Financial Tribune – Airline operators convened a meeting with officials from the Iran Civil Aviation Organization on Saturday to try to boost demand in the aviation market by revising the ticket pricing policy following a government decision to deny airlines cheap foreign currency.

During the session, cap rates for flights until the end of summer (Sept. 21) were set and airlines are not allowed to sell tickets at higher prices. The government ceased its plan to supply foreign currency at subsidized rate for airlines earlier this month and the companies now have to obtain their needed forex at the daily average of currency exchange rates.

As a result, Iranian airlines’ ticket prices have reportedly increased by 70% to 100%.