05232018Wed

Two airlines suspend Iran flights as economy weakens

Reuters: Two European airlines said on Saturday they were halting services to Iran, a sign of the crumbling purchasing power of Iranians as their economy buckles under the weight of Western sanctions. LONDON (Reuters) - Two European airlines said on Saturday they were halting services to Iran, a sign of the crumbling purchasing power of Iranians as their economy buckles under the weight of Western sanctions.

Air France-KLM (AIRF.PA) will suspend its Amsterdam-Tehran service starting April 2013, a spokesman for the carrier said. It currently flies to Iran four times a week.

Austrian Airlines, a unit of Germany's Deutsche Lufthansa (LHAG.DE), is cancelling its services to Iran due to a lack of demand, a spokesman said. The carrier's last flight from Vienna to Tehran will be on January 13.

It used to fly to Tehran four times a week, but reduced that to three in November.

The Iranian rial has lost about two thirds of its value against the U.S. dollar in the last year, following U.S. sanctions on its central bank and a European Union embargo of Iranian oil, levied over Iran's disputed nuclear program.

That depreciation has made imported goods and foreign plane tickets far more expensive for Iranians.

A spokesman for Lufthansa said the German carrier was continuing to fly to Tehran five times a week. Italian airline Alitalia also flies to Iran, according to its website.

The U.S. and its European allies fear Iran is trying to build a bomb under the cover of a civilian nuclear program. Iran says its program is purely peaceful.

The sanctions against Iran's energy and banking sectors have made it more difficult for the Iranian government to earn foreign currency, raising concern that the central bank will not be able to defend the rial and depressing its value.

Airlines already had to think twice over whether to maintain services to the country since Iran said in 2011 it had stopped providing fuel to European aircraft in retaliation for their refusal to fuel Iranian planes.

Austrian Airlines suspended its service to Tehran for more than two months last summer because it could not be sure of getting its planes refueled there.

(Reporting By Maria Sheahan in Frankfurt and Sara Webb in Amsterdam; Additional reporting and writing by Yeganeh Torbati in Dubai; Editing by Tom Pfeiffer)

Search

Iran,Isfahan, Apr. 10, 2018. Farmers Stage Major Protest Gathering in Khourasgan Square

Iran,Isfahan, Apr. 10, 2018. Farmers' Protest Rally Continues

Iran – the Portrait of Khamenei and Khomeini Was Set on Fire

>

Ahvaz, 29 Mar, Peaceful Demonstration of People Faces With Brutal Clashes by the Security Forces

IRAN, AHVAZ, Mar 27&28 People Clash With Security Agents Who Wanted to Destroy Their Houses

WARNING - VULGAR LANGUAGE March 13 - Tehran, NW #Iran‌ Protesters Celebrating #FireFest and Clashing

Iran: Video Clip, Activists Setting Fire 2 Paramilitary Bassij Center in Lavasan, North Tehran. #Fir

March 13 - Qazvin, NW #Iran‌ Protesters Starting #FireFest, Defying Authorities Banning Such #4Shanb

Iranian Opposition Organises Protest Against Presence of Iranian Justice Minister at UN in Geneva

Iran - Feb 6: Protest by swindled investors of the Caspian investment fund in Rasht

Iran: Kian Tyre factory workers protest overdue wages

Iran Protests- Jan. 5, 2018 City of Tabriz, Protests Inside the Football Stadium

Iran Protests- 5 Jan 2018 - Crowd Chants Slogan Against State Security Forces

Iran Protests- January 5, 2018 City of Tabriz, Protests Inside the Football Stadium

Iran- Dezful - South of Iran, the Funeral of Mohsen Adeli Who Was Killed by Regime During Protests

Iran Protests- January 5, 2018. Tabriz, the Repressive Special Guards Run Away From Youths

Iran Protests - Jan. 4, 2018 - City of City of Dezful -Southwestern Iran

Iran Protests- Tehran, January 3, People Fight Back Against Plain Clothes and Security Agents

Iran Protests- Tehran Jan 3, Outraged People Chanting, Death to Khamenei, Death to the Dictator

Iran Protests- Jan 4, 2018- City of Isfahan

Iran Protests- January 2, 2018 Ahwaz, Sixth Day of Uprising

Iran Protests- Sixth Day of People's Uprising Against the Regime, Tehran, January 2, 2018