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How much can a plane ticket cost?

Posted on September 8, 2021 by admin

Romania’s central bank, the Bank of Romania, said on Tuesday that ticket prices for flights between the two cities of Bucharest and the capital, Rome, would be capped at about 5,000 lei (US$3,500) for domestic flights, 1,000 for international flights, and 1,500 for those operated by foreign airlines. 

Romania’s economy has shrunk to record lows in the past year, and the central bank has imposed an annual 1.5% currency devaluation in a bid to boost exports. 

But prices for the two flights, which take off and land at the same time, will not be capped, the bank said. 

“The policy is designed to reduce prices of the tickets and reduce the cost of flights between Bucharest airport and Rome airport,” the bank, which has been central to Romania’s recovery, said in a statement. 

Currency controls are designed to ensure that the economy stays in line with its inflation target, which aims to rise at least 2% a year. 

The central bank said it planned to introduce a new currency, the rur, for the price of tickets between the airports.

 It said the new currency will be available for purchase on the Romanian national market.

The central banks decision is a major boost for Romania’s economy. 

It comes as Europe struggles to recover from a shock to the region after Brexit and the shock of Trump’s victory in November. 

Britain, the United States, France and Germany have all imposed currency controls on the Continent to counter the threat from the far-right populist Alternative for Germany party, or AfD, which is set to win the November elections in the European Union’s fourth largest economy.

AAP/Reuters

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