• Live
    • Audio Only
  • google plus
  • facebook
  • twitter
News > Latin America

Brazil's Temer to Allow Full Foreign Ownership of Airlines

  • Brazilian President Michel Temer.

    Brazilian President Michel Temer. | Photo: EFE

Published 11 April 2017

The move is part of the government's neoliberal reforms to increase foreign investment in the country.

Brazilian President Michel Temer will sign on Tuesday a decree allowing foreign companies to own 100 percent of local airlines.

Brazil Court Launches Trial that Could Boot
Temer from Office over Illegal Campaign Funds

Temer will sign the decree at a ceremony with the Tourism Minister Marx Beltrão, according to Reuters.

This is part of a measure aimed at increasing investment in the tourism industry, a reform that the government had drafted since January.

Inn 2016, deposed President Dilma Rousseff issued a decree lifting the limit on foreign ownership of airlines to 49 percent from 20 percent.

As part of the measures, the government will also subsidize airlines to fly to remote areas such as parts of the Amazon.

Meanwhile, at the expectation of the signing, Brazilian airline AZUL stocks surged as much as 9 percent in the market.

Rival Gol Linhas Aereas Inteligentes also gained 6 percent after the news.

Post with no comments.