Raises foreign ownership limit on airlines from 20 to 49 per cent
02 Mar 2016
Through Provisional Measure No. 714, issued on 1 March 2016 and effective 2 March 2016, Brazil relaxed restrictions on foreign ownership in domestic airlines. The measure – which needs to be confirmed by National Congress – increases the foreign ownership cap in domestic airlines to 49%, up from 20%, and repeals the requirement that directors be exclusively Brazilian nationals. Air service agreements concluded by Brazil may establish higher foreign ownership caps, subject to reciprocity.
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Type:
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Entry and establishment (Ownership and control)
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Industry:
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Services (Transportation and storage)
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Sources:
