GUYANA and The Bahamas on Monday signed an ‘open-skies’ Air Services Agreement to promote and facilitate the operation of air services between the two countries, as well as other countries.

The signing which took place in Nassau, Bahamas, was done by Isaac Chester Cooper, The Bahamas’ Deputy Prime Minister and Minister of Tourism, Investments and Aviation and Bishop Juan Edghill, Minister of Public Works.

A release stated that in addition to the standard articles of Grant of Rights, Designation and Authorisation, User Charges, Recognition of Certificates and Licences, Pricing, Commercial Activities, Fair Competition, inter alia, Minister Edghill said: “this agreement is promoting open-market access for airlines to operate unimpeded in terms of capacity and frequency of flights between our two countries and third countries.”

Minister Edghill further noted that the agreement is in keeping with the government’s commitment to connecting Guyana with the rest of the world and it is anticipated that Bahamas Air will soon add destination Guyana to its regional network.

Consistent with the government’s model of ‘open-skies’ agreements, the agreement facilitates acceptance of the Principal Place of Business as a means of designating an airline in contrast to the traditional restrictive requirement of substantial ownership and effective control by nationals of either country.

This means that the airlines could benefit from foreign share capital and investment, once they establish their main economic and operating base in either The Bahamas or Guyana.

The Principal Place of Business condition for airline designation is now a common inclusion in Air Services Agreements and creates a very advantageous position for small states with limited capital or financial resources.
The statement added that presently, there are no direct flights between Guyana and The Bahamas. However, this agreement puts in place the legal framework that opens market access for airlines to operate and enhance competitive air- transport services, trade, and economic growth between the two countries.

The agreement complements the more than 50 Air Services Agreements Guyana has established with other ICAO states to develop air connectivity among states.
Guyana and The Bahamas established diplomatic relations on July 10, 1973.