Guyana and The Bahamas have signed an open skies Air Services Agreement to promote and facilitate airlines to operate air services between the two countries, as well as other countries, a release from the Ministry of Public Works announced yesterday.
The Agreement was inked on Monday in Nassau with Deputy Prime Minister and Minister of Tourism, Investments and Aviation, Isaac Chester Cooper, signing for The Bahamas, and Minister of Public Works, Juan Edghill signing on behalf of Guyana.
The release explained that the Agreement is consistent with the government’s model of open skies agreements, and facilitates acceptance of the Principal Place of Business as a means of designating an airline in contrast to the traditional restrictive requirement of substantial ownership and effective control by nationals of either country.
This means that the airlines could benefit from foreign share capital and investment once they establish their main economic and operating base in either the Bahamas or Guyana. The Principal Place of Business condition for airline designation is now a common inclusion in Air Services Agreements and creates a very advantageous position for small states with limited capital or financial resources.
There are currently no direct flights between Guyana and The Bahamas. However, this Agreement puts in place the legal framework that opens market access for airlines to operate and enhance competitive air transport services, trade, and economic growth between the two countries.
According to the release, the Agreement encompasses the standard articles such as Grant of Rights; Designation and Authorisation; User Charges; Recognition of Certificates and Licenses; Pricing; Commercial Activities; and Fair Competition. Also, it complements the more than 50 Air Services Agreements Guyana has established with other ICAO states to develop air connectivity among States.
Meanwhile, Edghill commented that the Agreement promotes open-market access for airlines to operate unimpeded in terms of capacity and frequency of flights between Guyana and The Bahamas, as well as third countries. He also anticipated that Bahamas Air will soon add Guyana to its regional network.
