Greece to support air transport sector to soften coronavirus blow

Greece on Thursday announced a package of measures amounting to 115 million euros to support the country's air transport sector, hit hard by the lockdown to contain the spread of the new coronavirus including the grounding of flights.

"Sectors such as air transport which is directly linked with tourism ... are in need of a special support framework as they have a systemic significance for the country's economy," Greece's Finance, Labor and Transport ministries said.

The package includes a cut in VAT tax to 13% from 24% from June 1 to end-October, estimated to cost the government foregone income of about 30 million euros.

The government will also replace the income tax on pilot, cabin crew and technical staff pay with a permanent 15% tax rate, which will lower the wage cost for companies in the sector by about 7.7 million euros annually.

It will also pay...

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