January 7, 2019 / 5:30 PM / 11 days ago

Argentina approves 3rd low-cost airline to operate in the country

BUENOS AIRES, Jan 7 (Reuters) - Chilean airline JetSmart has been approved to fly 261 local and international routes from Argentina, the government said on Monday, making it the third low-cost carrier allowed to operate in Argentina as the government tries to cut the price of travel.

JetSmart is permitted for a 15-year period to fly within Argentina as well as to Uruguay, Peru, Paraguay, Chile and Brazil, the Argentine government said in a statement. Its base will be El Palomar airport near capital city Buenos Aires.

Lower travel costs are part of Argentine President Mauricio Macri’s effort to spur competition, attract investment and boost tourism. Argentina’s airline market is dominated by state-owned Aerolineas Argentinas and Chile’s LATAM Airlines.

Reporting by Walter Bianchi, writing by Hugh Bronstein Editing by Susan Thomas

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