Russia’s air traffic growing, but adding jets could prove risky
Despite last year’s period of stabilisation in the Russian airline industry following two years of losses, financial experts continue to warn against inclinations toward fleet growth as market fundamentals show little promise of improvement. But even while economic indicators show little more than 1- to 1.5% GDP growth into the foreseeable future, airline traffic has seen a boost since last October thanks to a recovering tourism industry. In April alone, airline traffic jumped 20%. Still, financiers remain cautious, warning major airlines against embarking on the potentially risky policy of luring passengers with low fares in hopes that an improving economy will eventually compensate for the resulting losses. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2017-05-10/general/russia2019s-air-traffic-growing-but-adding-jets-could-prove-risky
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Russia’s air traffic growing, but adding jets could prove risky
Despite last year’s period of stabilisation in the Russian airline industry following two years of losses, financial experts continue to warn against inclinations toward fleet growth as market fundamentals show little promise of improvement. But even while economic indicators show little more than 1- to 1.5% GDP growth into the foreseeable future, airline traffic has seen a boost since last October thanks to a recovering tourism industry. In April alone, airline traffic jumped 20%. Still, financiers remain cautious, warning major airlines against embarking on the potentially risky policy of luring passengers with low fares in hopes that an improving economy will eventually compensate for the resulting losses. <br/>
