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

Ирина Орлонская Exclusive
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According to Daniyar Bostanov, the director of the State Agency for Civil Aviation under the Cabinet of Ministers, it takes time to form a sustainable demand for domestic flights. He noted that assessing the profitability of such flights in the short term is impossible, as both statistical data and time for analysis are needed.

Bostanov emphasized that airlines have been raising the issue for many years about the necessity to first improve airport infrastructure before discussing the opening of new flights. Although some regional airports have been renovated, carriers still note the insufficient economic attractiveness of several routes.

"Today, the state airline performs a social function. These flights are not intended for profit but are aimed at preventing losses and ensuring the availability of air communication for the population," he added.

The head of the agency also pointed out the lack of historical data on passenger traffic on many routes, as some airports have not operated for more than 15-20 years, and some since the Soviet era. In such conditions, it is difficult to predict demand for flights.

"We will only be able to see real statistics on demand in a year or two. If passenger traffic gradually increases, it will mean that people want to fly," he explained.

According to Bostanov, the government has already provided subsidies for some domestic routes. For example, the price of a plane ticket on the Bishkek-Talas route is about 2100 soms, and many residents consider it affordable.

The agency director also noted that the development of domestic flights is linked to the increase in domestic tourism, which has been actively developing after the pandemic.

"Over time, people will become more accustomed to new routes. Perhaps in 2-3 years, subsidies will no longer be needed, as sustainable demand will form," he added.

Additionally, Bostanov reported on ongoing negotiations with foreign airlines. In particular, a meeting was held with representatives of a Polish airline at the ICAO assembly in Montreal, which is considering the possibility of opening a direct flight between Poland and Bishkek.

"Airlines usually operate without profit or even at a loss in the first few years, counting on the long-term perspective. This is a typical strategy," he noted.

As an example, Bostanov cited the Bishkek-Osh route, on which up to nine flights are operated daily during the summer, and tickets on peak days sell out quickly. This clearly demonstrates how sustainable demand for air transportation is formed over time.
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