Iran to order 114 Airbus planes for new era of air travel as sanctions lifted

Iran is to buy 114 Airbus planes to revitalise its ageing fleet, in the first major commercial deal announced since the lifting of sanctions under its nuclear agreement. The deal is to be signed between national carrier Iran Air and Airbus during a visit to Paris this week by president Hassan Rouhani. The first batch of new planes could arrive in Iran by March 19 but no financial details of the deal were revealed. Iran had been negotiating for 10 months for the purchase of planes but “there was no way to pay for them because of banking sanctions,” said transport minister Abbas Akhoundi.

We need 400 long- and mid-range and 100 short-range planes

Transport minister Abbas Akhoundi

Modernising the country’s air fleet and infrastructure is a top priority, with only 150 of the country’s 250 planes operational, according to Mr Akhoundi. Just nine of Iran’s 67 airports were in use and they needed $250 million (€230 million) of upgrades in navigation systems, he said. News of the Airbus deal came as aviation industry representatives from 85 companies met in Tehran on Sunday to assess opportunities in the Islamic republic after sanctions were removed. Meanwhile, US secretary of state John Kerry moved on Sunday to allay fears from regional rival Saudi Arabia about the deal to lift sanctions on Iran. He said: "We have as solid a relationship, as clear an alliance and as strong a friendship with the kingdom of Saudi Arabia as we have ever had.“

A whole array of different aviation services and new jobs obviously are going to be created

Peter Harbison, air industry consultant, says Iran could see an air travel-related boom

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