Sustainable demand for domestic air transportation is formed over 2–3 years, - GAGA

Владислав Вислоцкий Exclusive
VK X OK WhatsApp Telegram
The Director of the State Agency for Civil Aviation under the Cabinet of Ministers, Daniyar Bostонов, noted in an interview on the radio that it takes time to form a sustainable demand for domestic flights.

In his opinion, a short-term assessment of the profitability of launching and developing such routes is not possible without sufficient time intervals and statistical data.

Bostонов emphasized that airlines have been highlighting the need to improve airport infrastructure first and then discuss the launch of flights. To date, some regional airports have undergone repairs; however, carriers still report low economic attractiveness for a number of destinations.

"Currently, the state airline is carrying out tasks related to its social function. These flights are not intended for profit but are aimed at preventing losses and ensuring the availability of air communication for citizens," he explained.

The head of the agency also added that there is no historical data on passenger traffic for many destinations, as some airports have not operated for 15–20 years, and some since the Soviet era. In such conditions, forecasting demand for flights becomes a challenging task.

"Only in a year or two will it be possible to assess the real statistics, which will show whether demand is growing. If passenger traffic starts to increase, it will mean that people are ready to fly," Bostонов said.

He also reminded that subsidies are provided for some domestic routes. For example, a ticket for the Bishkek–Talas flight costs about 2100 soms, which many residents consider an acceptable price.

The agency director linked the development of domestic flights with the increase in domestic tourism, which has actively started to develop after the pandemic.

"People gradually get used to new routes. Perhaps in 2-3 years, subsidies will no longer be needed as sustainable demand will be formed," he added.

Additionally, Bostонов reported on negotiations with foreign carriers. In particular, at the ICAO assembly in Montreal, a meeting was held with representatives of a Polish airline interested in opening a direct flight between Poland and Bishkek.

"As a rule, airlines operate without profit or even at a loss in the first years, counting on long-term prospects. This is standard practice," he noted.

As an example, Bostонов cited the Bishkek–Osh route, where up to nine flights are operated daily during the summer months, and tickets for peak days sell out in advance. This clearly demonstrates how sustainable demand for air transportation is formed over time.
VK X OK WhatsApp Telegram

Read also: