RJ appeals for urgent support to prop up national carrier

RJ Flickr
(File photo: Jordan News)
AMMAN — Royal Jordanian (RJ)’s top executive appealed for urgent assistance to help the flagship carrier  overcome accumulated losses estimated at JD321 million, according to the Jordan News Agency, Petra.اضافة اعلان

RJ’s CEO Samer Al-Majali told the House of Representatives’ Tourism, Antiquities, and Public Services Committee in parliament on Tuesday that RJ lost key revenue sources after some of its business was privatized.

Other reasons, he said, included fuel monopoly and its exorbitant costs, and failure to provide Royal Jordanian any preferential or special treatment, although it competes with government-subsidized airlines in the region.

Of the total accumulated loss of JD321 million, or 99 percent of RJ’s capital, JD161 million was the direct result of the coronavirus pandemic, during which air traffic came almost to a standstill, Majali said.

He also told the lawmakers that the company is currently in discussions with the government to raise its capital by about JD70 million.

RJ is reevaluating its destinations and plans to increase its routes to 60 worldwide, in addition to updating its fleet, as part of its strategic plan for the next five years, he said.

Read more Business
Jordan News