Airline ticket prices set to drop as border tax reduced to €1

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Flight tickets are about to become much cheaper in Albania after the government decided to reduce the border tax from €10 to €1.

On April 8, finance minister Delina Ibrahimaj and the minister of infrastructure Belinda Balluku agreed on lowering this tariff for all air carriers, which would pocket the fee included in the overall ticket price.

The decision will apply to all Albanian airports, such as Tirana International Airport, Kukës International Airport Zayed, and the new one in Vlora after it begins operations.

It is estimated that the move will cause the state budget to lose at least €12 million.

Last year, tax revenue from the border fee totaled €11.8 million, and €6.6 million in the 2020 pandemic year.

The concessionary firm that is administering the airport is also on the losing side, as it earns some 2% of the revenue by collecting the tariff.

The border tax was levied two decades ago, but it was waivered from land and maritime borders several years ago.

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