Singapore has announced it is preparing an SG$112 million (US$81 million) assistance package for the aviation sector in response to the coronavirus outbreak which is heavily affecting the industry.

The package provides assistance for six months and includes a 100% parking charge rebate for passenger services, 10% landing charge rebate for freighter flights, assistance to ground handling agents and rental rebates for shops and cargo agents at Singapore Changi Airport, according to a speech delivered by Senior Minister of State for Transport and Health Lam Pin Min, on March 5. 

COVID-19 has hurt the aviation sector

Min said the aviation sector is "disproportionately affected by the coronavirus outbreak" and the assistance package is expected to help the aviation sector ease cash flow pressures.

"While we respond to the immediate crisis, however, it is also important for the aviation community to prepare for the next stage. The critical question is how we can restore confidence in aviation in this new environment," Min said. 

The official noted that Covid-19 has hurt the aviation sector among others and traffic at Changi Airport have declined significantly.

"Our priority for the coming months is clear: first, help industry tide over this difficult time; and second, position for recovery so that we emerge from this even stronger," Min said in his speech.

"On top of the economy-wide measures, we have rolled out a $112m assistance package to help the aviation sector defray the cost and ease cash flow pressures," he added.

Min said the Singapore government will be "watching the situation very closely and stand ready to do more if the situation worsens."

"Our commitment to our aviation and maritime sectors is this: we will get through this together. Working together as SGUnited, we can overcome COVID-19," Min further said.

Singapore is home to Changi Airport, one of the world's busiest passenger and cargo airport.