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Sri Lanka to strengthen airline passenger, investor protection

Apr 06, 2011 (LBO) - Sri Lanka plans to introduce consumer protection laws and ratify international conventions that will better protect investors and ensure higher compensation for airline passengers, an official said.
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The convention safeguards claims of all parties in airline transactions and gives an assurance to investors to invest in the sector, Nimalsiri said.

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Provisions in the convention are seen as reducing the uncertainty of lenders in aircraft financing, offering them better protection, and thereby reducing the interest rate they charge.

This is seen as particularly beneficial for developing economies because of the higher interest rates their airlines often have to pay. "We're planning to bring consumer protection laws aiming at some aspects of passenger travel," said H M C Nimalsiri, director general of civil aviation authority.

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"Today, some passengers go to the airport with confirmed tickets but at the last moment are denied boarding.

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"We need to bring rules like what's applied in Europe where if passengers with confirmed boarding passes are denied boarding, airlines should pay compensation for inconvenience caused to them.


Nimalsiri also said the government expects to ratify two

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