Prime Minister Dr. Kenny Anthony has expressed optimism about plans by the regional airline, LIAT, to streamline operations to cut costs and become more efficient.
“The changes do provide a basis for optimism. I think some courage is finally being applied to deal with the situation with LIAT,” Anthony told reporters.
The airline recently announced plans to cut 180 jobs, dispose of its Dash 8 fleet and reduce the number of aircraft based in Antigua and Barbuda.
The plans are aimed at putting more capacity into Barbados with two additional aircraft from the end of October 2015, resulting in fewer flights out of Antigua.
“Obviously it is not going to be easy for the government and people of Antigua, but they have to understand that governments cannot continue to pump money year after year into LIAT, despite the carrier’s losses.”
He added that LIAT’s shareholder governments have understood that the time has come to take “dramatic action” to deal in a deliberate way with the problems of the carrier.
“Caribbean people need LIAT badly,” Anthony said, adding that decisive action was necessary to restore the loss-making airline to viability.
LIAT recently announced that it would re-locate four of the airline’s new ATR aircraft at the Grantley Adams International Airport in Barbados , while Antigua will have two. The remaining two aircraft will be based in Trinidad.