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Expensive Flights Hinder Central American Integration
By Guy José Bendaña-Guerrero & Asociados
Traveling by air in Central America is significantly more expensive compared to other regions. A short flight between Costa Rica and El Salvador costs between USD 500 and USD 800, while similar routes in South America can be even cheaper. This high cost discourages travel and hinders regional integration.
The World Bank identified limited competition and high airport fees as the main reasons behind expensive flights. Central American countries charge high fees for regional flights, similar to those applied to long-distance international flights. This discourages low-cost carriers from entering the market and limits the creation of new routes.
A report by Roberto Echandi (World Bank Global Investment Policy Lead) and Michel Kerf (World Bank Country Director for Central America and the Dominican Republic) estimates that lower fees could significantly reduce travel costs. With lower fees, round-trip tickets within Central America could drop to as low as USD 114 (excluding taxes). This would stimulate business activity and create jobs in tourism and other sectors.
Several Central American countries are working with the World Bank to reduce fees on regional flights. Panama lowered departure fees at a recently reopened low-cost airport, and Costa Rica introduced a bill to reduce fees if other countries follow suit. These initiatives aim to make intra-regional travel more affordable and promote integration.
The World Bank is encouraging all Central American governments to participate in this initiative. With cooperation, reducing fees could create a "Central American bullet train" system, allowing quick and affordable travel throughout the region.
Nicaragua is one of the Central American countries working with the World Bank to reduce fees on regional flights. The country has not yet taken any concrete steps to lower fees, but it has expressed support for the initiative. Currently Managua is accesible on commercial flights via Miami, Houston, Ford Lauderdale, San Salvador, Costa Rica, Mexico and Panamá.
Guy José Bendaña-Guerrero & Asociados
GUY JOSE BENDAÑA GUERRERO & ASOCIADOS has a long and prosperous tradition in the field of intellectual property (IP) in Nicaragua, with roots that go back to more than 100 years, resulting on long-term relationships with renowned clients and attorneys worldwide.
The firm has its origins in the law firm Henry Caldera & Henry Caldera-Pallais, founded in 1907 by Mr. Henry Caldera. That same year of 1907, through the efforts of Mr. Caldera, Nicaragua had its first Trademark Law. In the late 1930’s, Mr. Caldera’s oldest son, Dr. Henry Caldera-Pallais, after studying law in Nicaragua, attended the University of Michigan, where he graduated as a Registered U.S. Patent Attorney. Dr. Caldera-Pallais in 1964 was a founding member of the Interamerican Association of Intellectual Property (ASIPI), the first regional intellectual property organization in the Americas. The firm continued to grow during the administration of Dr. Franklin Caldera, son of Dr. Caldera-Pallais, who obtained his doctoral degree in law from the Universidad Centroamericana in 1973.
Since 1985 the current partners, Dr. Guy José Bendaña Guerrero and Mrs. Blanca Aragón de Bendaña, took over the management of the firm. Dr. Bendaña Guerrero, Director of the firm, has distinguished himself as one of the most respected authorities in Central America in the field of intellectual property and law in general, being the author of several books such as “Course of Industrial Property Law”, “Study of the new Laws of Industrial Property” and “New Study of Contracts “, among others. Mrs. Aragón de Bendaña has served as the firm’s general manager and, thanks to her excellent management, the firm has been in constant growth, with a highly qualified staff committed to excellence. Since 1996, partner Julián José Bendaña Aragón joined the firm, and has been standing out as one of the most recognized attorneys in the field of intellectual property.
We have adapted to the constant change of the business world, supporting our clients in finding the most appropriate legal solutions for each moment. The firm distinguishes itself by understanding the needs of its clients, offering personalized service and adding value to its activities.
Nowadays we continue to be the leading firm in Nicaragua in the area of intellectual property, and at the same time, we have been consolidating other areas of service within the civil, commercial and labor fields, as well as litigation and consulting in general. The firm is well positioned to guarantee a pragmatic service that meets the requirements of the most demanding clients.