Oman Air suffers loss of 4m riyals

Muscat: Oman Air incurred a loss of four million Omani riyals in the first quarter of this year, according to the chairman of the Oman Aviation Services Company, Ahmad Bin Abdul Nabi Macki, who is also Oman's Minister of National Economy and deputy chairman of the Financial Affairs and Energy Resources Council.

Macki told the official Oman News Agency that the losses were incurred due to the expansion programmes aimed at restructuring the company, the purchase of new planes, the opening of new long-haul routes (Muscat-Bangkok, Muscat-London) as well as an increase in the salaries of its employees.

He said that the company was not expected to generate a profit for some time due to its expansion programmes, which were aimed at making the airline competitive.

Opportunities

Meanwhile, Macki, who is currently on a visit to Japan, stressed the investment opportunities available to Japanese companies in Oman's new ports, roads, air transport, petrochemical, oil, gas and energy projects.

He said that the sultanate has adopted a strategy of diversification of income sources by encouraging joint investments by Omani private companies and their counterparts worldwide.

He said a number of Jap-anese companies are working with Omani public sector companies in the fields of oil and gas, sea transport and ports.

The volume of trade between the two countries has increased rapidly, making Japan the third largest importer of Omani crude oil and liquefied natural gas.

Macki pointed out the need to increase the volume of trade and joint investments between the two countries, whether they are in or outside the Sultanate.

He said the signing of a double taxation avoidance treaty between the two countries would help companies make good profits.