This time of year, regional travel is a hot topic as citizens of neighbouring islands plan to island-hop to participate in summer activities.
Minister Hilaire highlighted the logistical challenges associated with regional travel, and says government entry and exit taxes are a huge issue.
“The governments have taxes in place because that's the revenue stream for them to pay for the new airport terminal upgrades and the new airports,” he said.
Hilaire notes, however, that if the cost of travel decreases regionally, more citizens would be encouraged to visit regional destinations. This possibility, he says, can increase the amount of revenue collected by governments.
“Now then we have to be able to put forward an argument that says if people are coming to your country because it's now cheaper, they spend more in your country, your government revenue increases.”
With the return of LIAT, albeit in a new iteration, the cost of regional travel is expected to decrease.