Minister of Transport and Civil Aviation Mohamed Ameen has said that Island Aviation Services (IAS)has undergone major transformation with the endeavor to restructure the company. Minister said this in a recent interview to the State Television PSM, talking about the responsibilities of the company. He said the aviation sector had earlier been operating under a stable and efficient system up until recently. But he said at the time he had to take-up the responsibilities following the regime change, the company had to face many challenges.

He said one of the major reforms the current administration brought to the aviation sector is to restructure Island Aviation in line with ICAO standards, allowing operators and airlines to provide more efficient services, working in collaboration with each other.

Minister Ameen said further that at the time of the regime change, Island Aviation was operating at a loss of 2.1 billion Rufiyaa. But he said benefits of efforts to diversify and strengthen its operations are now being reaped. He said with the introduction of a wide-bodied aircraft, flights are now operating to three foreign destinations, namely three cities in China.  Plans are also underway to acquire a second wide bodied aircraft by October this year. Other changes Minister Ameen noted are the introduction of a premium economy class for the domestic flights, as the company is transitioning from Dash 8 aircrafts to ATR models to reduce maintenance and overall operating costs, and changing the contractors of the sea plane operation has brought about serious reforms to the company’s movements.

Looing at the records of the past 5 years, Island Aviation was the government company that operated with the maximum loss after the Covid 19. According to the financial reports of 2021, a loss of 647 million rufiyaa was incurred on the company.

Audit Report of Island Aviation for the Year 2024 showed it eared an income of 171 million Rufiyaa. However, after cutting the expenses, it had to operate at a loss of 2.82 million Rufiyaa.

2024 marks the 5th consecutive year the company had to operate at a loss, after a profitable period from 2014 up until the onset of he Covid 19 Pandemic in 2020. However, the 5-year trend also show a steady recovery with losses gradually reducing each year.

Compared to 2020 the company’s losses recorded for 2024 have fallen drastically, by nearly 100 percent.

These developments reflect a strategic shift aimed at restoring profitability and expanding the role of Island Aviation Services, in both home and abroad.