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PM approves the merger of three airports corporations

PM Nguyen Tan Dung has approved a proposal to the merge of three airports corporations.

Prime Minister Nguyen Tan Dung has approved a proposal by the Civil Aviation Administration of Vietnam (CAAV) to the merge of three airports corporations.

PM approves the merger of three airports corporations - 1
Accordingly, Northern Airports, Middle Airports and Southern Airports will be merged into one corporation, which will be responsible for operating all domestic and international airports in the country.

The merge is aimed to improve efficiency. Currently, many airports in Vietnam are taking losses. According to the Northern Airports Corporation, five airports it manages incur yearly losses, including Dong Hoi in Quang Binh, Vinh in Nghe An, Cat Bi in Haiphong and Na San in Son La and Dien Bien.

The average cost for a flight is around VND12.8 million (USD609.5), while airports are only allowed to collect fees of VND3 million (USD142.8).

The PM has also agreed on the equitisation of 59 enterprises, including 13 under the Ministry of Transport, 21 under Vietnam Road Administration, 3 under Northern Airports Corporation and 2 under Southern Airports Corporation.
Source: dtinews.vn
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