São Tomé, Nov. 20, 2024 (Lusa) - São Tome and Principe's main opposition party, the MLSTP, on Wednesday demanded the suspension of the increase in airport taxes approved by the government, to €220 per passenger, considering that it is "an attack on the economy" and will drive away tourists and investors.
"The increase in airport tax from around 1,000 dobras (€40 at the current exchange rate) to 5,500 dobras (around €220) is not just a foolish decision or a reflection of a government disconnected from the reality of its population, incapable of managing the economy responsibly. It's much more than that. It's an attack on the economy and the well-being of the people of São Tomé and Príncipe," said the leader of the Movement for the Liberation of São Tomé and Príncipe (MLSTP), Américo Barros.
The opposition leader argued that "the ADI (Independent Democratic Action) government should immediately suspend this disproportionate increase" and promised, reading a statement without the right to questions, that "if this is not done, in 2026, when the MLSTP comes to power, with the votes of the people, it will reverse this situation".
The government, said the opposition leader, should "open a broad dialogue with the organs of sovereignty, political parties, civil society, the private sector and economic experts to analyse the opportunity to resume negotiations with the People's Republic of China and the African Development Bank, so that the country can redeem the donations of more than US$100 million for planned improvements to São Tomé and Príncipe airport.
The São Toméan government approved a resolution, which will come into force on 1 December, setting the Aeronautical Development Fee (TSDA) at €62, Airport Security Fees at €28 and Regulation Fees (TR) at €20, which, multiplied by two for return journeys, total €220 per passenger on international flights.
On domestic flights to the island of Príncipe, Aeronautical Development Fees have been set at €7, Airport Security Fees at €4 and Regulation Fees at €5, which, multiplied by two for return journeys, total €32 per passenger.
The MLSTP, added Américo Barros, expresses "its deep concern, indignation and most vehement opposition to the disproportionate increase in the airport tax to €220", emphasising that the minimum wage in the archipelago is 2,500 dobras, around €100.
"This decision demonstrates the ADI government's total insensitivity to the economic conditions of our population and the structural fragility of our economy. This measure will have a direct and unsustainable impact on companies, entrepreneurs, workers, students and many families, as it will make it impossible for them to use air transport, which will hasten the bankruptcy of companies, deepen inequalities and limit the mobility of citizens, jeopardising a basic constitutional right," he lamented.
"This decision to increase taxes disproportionately is a disincentive to tourism, to foreign investment and is also an attack on the government's highest proposals for raising the foreign currency that would be essential for the purchase of medicines for hospital centres," said Américo Barros.
The São Toméan opposition leader urged the government to "explain to the country's authorities and to the public in general" why it "makes contracts without obeying transparency criteria and the public tender law, always causing various inconveniences to the country".
Following complaints from several São Toméans, especially on social media, officials from the Ministry of Infrastructure justified the increase in fees as part of the 49-year concession contract for São Tomé airport to a private company of Turkish investors, with the aim of modernising the infrastructure.
The MLSTP also urged the government "to promote a downward review of tax collection policies", namely Value Added Tax (VAT), IRS rates or surcharges, "prioritising measures that are fair and sustainable, without penalising the vulnerable classes".
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