However, Latvia is not the only country in Europe to have supported its airline during the pandemic, and companies operating in the region have received tens of billions of euros in support over the past year.
Portal “Delfi Business“offers a summary like any other European countries have tried to keep airlines afloat during this time and for what purposes “airBaltic“intends to use the forthcoming funding.
Worried that will not pay off
According to estimates from various organizations, the current allocation and funding of different countries in the region European Commission The approved financial support for European airlines is approaching EUR 40 billion, but additional support of several billion euros is being negotiated. The total level of airline debt in the world last year reached more than 180 billion euros, which is almost half of the companies’ income last year, according to the estimates of the research company “McKinsey”. Repayment of these loans in the future may be complicated by deteriorating credit ratings and higher financing costs, which may eventually be passed on to travelers in the form of higher ticket prices.
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