Uruguay launches $2.5M fund to boost air connectivity

The Uruguayan Ministry of Tourism and airport operator Aeropuertos Uruguay have signed an agreement to launch a co-financed air connectivity incentive fund. The program aims to attract new international airline routes and increase inbound tourist traffic to the country.

The fund has an annual capacity of up to $2.5 million, with the state and the airport concessionaire each contributing up to $1.25 million. Under the new regime, airlines can receive $15 for every additional foreign passenger transported compared to the previous semester. Additionally, companies opening new regular routes can access one-time payments ranging from $17,500 to $40,000.

Tourism Minister Pablo Menoni described the mechanism as a results-based growth reward rather than a standard subsidy. The program is already operational, with the first payments scheduled to be processed at the close of the second semester starting in January.