LatinNews Daily - 20 October 2023

* Mexico’s transport (SICT) and finance (SHCP) ministries have announced an agreement with three private airport operators to increase regulatory tariffs from 5% of gross revenue to 9%. The tariff changes affect the Grupo Aeroportuario del Sureste (Asur), which operates nine airports including in the tourist hotspot of Cancún in Quintana Roo state; the Grupo Aeroportuario Centro Norte (OMA), which operates 13 airports, including in the resort city of Acapulco, Guerrero state, and in Nuevo León state capital Monterrey; and the Grupo Aeroportuario Pacífico (GAP), which operates 12 airports including in Jalisco state capital Guadalajara and major coastal tourist destinations in Jalisco and Baja California Sur states. The government notes that this is the first time in over two decades that the tariffs have been revised “despite the dynamic changes in the aviation sector and global and local economies”. It said the changes would benefit passengers by reducing the cost of airport services that impact the prices of airline tickets. The government maintained that the adjustments would not negatively impact the groups’ financial health, although analysts and opposition politicians have argued that the groups’ revenues will likely take a hit. Shares in all three airport groups fell following the announcement, with OMA shares down 0.19%, Asur shares down 1.98%, and GAP shares down 2.35%. The Benito Juárez International Airport (AICM), the main airport serving Mexico City (CDMX), is now under the control of the navy ministry (Semar) and will not be subject to the new tariff rates, along with Mexico’s other publicly run airports.