B14b loan for staff payroll at local airlines halved

A 14-billion-baht loan for seven local airlines has been sliced in half in an effort to retain jobs in the second half as the industry prepares for the country to reopen to foreign tourists by mid-October. Puttipong Prasarttong-Osoth, president of the Airlines Association of Thailand (AAT), said the soft loan for airlines, which was proposed to the Finance Ministry last year for 12 months of operation, was chopped to cover payroll from July to December. The association submitted the proposal to state agencies, but the loan amount and conditions were not disclosed as airlines have to wait for final approval from the Export-Import Bank of Thailand (Exim Bank), Social Security Office (SSO) and Labour Ministry, he said. Puttipong said airlines hope financial aid will be delivered this year. Seven airlines are members of the association and requested soft loans. They comprise Bangkok Airways, Thai AirAsia, Thai Lion Air, Nok Air, THAI Smile, Thai VietjetAir and Thai AirAsia X. The AAT submitted a letter to Prime Minister Prayut Chan-o-cha last month, asking for clarification on the soft loans to protect 15,970 jobs.<br/>