Problems within the car hire industry have, in recent years, been compounded by the global economic situation which has seen companies unable to reinvest in fleets.
"The economic model of rent a car has changed in recent years with the resale of ex-hire cars no longer being guaranteed. Now, car hire companies are unable to renew their fleets so often and have also had to reduce the number of cars they own," said the president of AERTA.
Another problem arrises even for the Algarve car hire companies interested in expanding their fleets for high season: With the reduction of imported cars and the increase of bank interests cars became much more expensive and so the investment in new cars suffered a dramatic cut.
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