Flights to Argentina: Israel might offer $5.4 million incentive to airlines
Surplus war funds will be redirected to subsidize the direct connection with Buenos Aires, challenging the operational complexities of ultra-long-haul travel.
The Israeli Ministry of Finance is set to present an official proposal this Monday to allocate 20 million shekels (approximately $5.4 million) to incentivize the operation of direct flights between Ben Gurion International Airport and Buenos Aires.
The initiative, outlined in a government decision draft, seeks to secure regular air connectivity between the two nations for the 2026-2028 period. The funds will be sourced from budget surpluses in state guarantees originally allocated to the aviation sector during the "Iron Swords" conflict.
The financial incentive aims to mitigate the commercial risk of an ultra-long-haul route—exceeding 12,000 kilometers—that currently lacks operators. As reported by Israel Hayom, the official document underscores the need to strengthen diplomatic ties following the alignment of Javier Milei's administration with Israel, in addition to serving the Jewish community in Argentina.
Operational viability and competition
The proposal posits that the route would function as a direct bridge, eliminating current mandatory stops in Europe, the United States, or Brazil, significantly reducing travel times. The Israeli government projects that Argentina could consolidate its position as a Hub for Israeli passenger traffic to the rest of South America.
The Ministry of Finance noted that "resources will be used for an incentive mechanism" directed at any airline capable of sustaining the technical and commercial operation of the link. To date, carriers such as El Al have operated ad-hoc repatriation or cargo flights but do not maintain regular passenger service to this destination due to operational complexity and fuel costs associated with the distance and airspace restrictions.
The closest precedent is the flights El Al operated between Tel Aviv and Sao Paulo/Guarulhos between 2009 and 2011.
During the debate sparked by this potential subsidy for Tel Aviv-Buenos Aires flights over the year, voices from the Israeli Ministry of Transport opposed the measure, stating that it would require El Al to allocate aircraft currently serving profitable routes to the United States. This would force a reduction in capacity on those routes and translate into an increase in airfares.
Its network in that country currently covers Boston (3 weekly flights), New York-Newark (11), Fort Lauderdale (1), New York-JFK (16), Los Angeles (6), and Miami (5).
