THE Auditor General’s Department (AGD) has reported that despite the challenges of the COVID-19 pandemic, the Jamaica Civil Aviation Authority (JCAA) performed admirably during the five-year period between 2017 and 2022.

Following an assessment of the JCCA’s annual audited financial statements for the financial years (FY) 2017/18 to 2021/22, annual reports and other supplementary information said the JCAA generated relatively strong net profits despite lower operational activity due to the adverse effects of COVID-19 on airline traffic.

“The fallout from the authority’s revenue was mitigated during the COVID-19 period with the introduction of the resilient corridor, which supported the tourism industry and in turn the aviation industry. JCAA liquidity fluctuated but remained strong over the review period, supported by low levels of liabilities,” said the AGD in a report tabled in Parliament on Tuesday.

The AGD added: “[The] JCAA’s liquidity levels were adequate during the review period, as both the current and cash ratios met the established standards, averaging 4.8 and 1.81, respectively. JCAA also comfortably met one of the financial standards criteria outlined in the FAA Regulations relating to liquidity, which qualifies public bodies whose activities are of a commercial nature to be excluded from the list of specified public bodies

“JCAA’s working capital also displayed a positive trend over the period moving to a high of $5.0 billion in FY2021/22. The authority’s working capital turnover ratio rose to 1.54 in FY2019/20 from 1.33 in FY2017/18 but fell sharply to 0.49 in FY2020/21 given a falloff in income in light of reduced air arrivals during the COVID-19 pandemic. With an improvement in air passenger activity in FY2021/22 the ratio increased to 1.15”.

The JCAA is a statutory body under the portfolio of the Ministry of Science, Energy, Telecommunications and Transport.

The authority is mandated to regulate Jamaica’s air transport industry to ensure it is safe, orderly and provides reliable and efficient air navigation services to support a safe, efficient, and sustainable air transport sector.

Its main functions include providing air navigation services; aviation safety and security oversight; economic regulation of air transport; and the promotion of the development of air transport including the establishment of training facilities for that purpose.

As the sole provider of air navigation services for Jamaica’s airspace and the Kingston Flight Information Region, the JCAA monitors all passenger and aircraft movements.