Air France-KLM revenue stuck in Egypt amidst dollar crisis
Air France-KLM has urged Egypt to release upward of EGP100 million (USD13 million) in revenue it is unable to repatriate due to an acute dollar shortage, saying the delays were making it increasingly difficult to operate in the country. Cees Ursem, Egypt country manager, said the Franco-Dutch airline had been unable to transfer earnings out of the country since October and had last week asked the Tourism Minister and Central Bank Governor to help resolve the delays. "All the foreign carriers they have the same problem," Ursem told Reuters by telephone. "It is a very, very serious problem because all our revenues are blocked at the bank, but at the same time we do have all the same costs ongoing like leasing the aircraft, the fuel, the staff, overflying rights, ground handling etc, which have to be paid in dollars, so how do you suppose that we can sustain these operations?" Ursem said the airline, which operates 10 flights a week out of Egypt, was not about to suspend operations in the country, but financial pressure was mounting. (Reuters)
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