Flights from Russian airports reduced

Noam Stiekema

The flights from Russian airports reduced since fewer local people dare to go outside the country and fewer foreign tourists and businessmen visiting it. Over the past decade the three airports in Moscow spent hundreds of millions of USD to be expanded to meet the requirements of airlines for terminals and runways. But now the […]

Russia airports

Russia airportsThe flights from Russian airports reduced since fewer local people dare to go outside the country and fewer foreign tourists and businessmen visiting it. Over the past decade the three airports in Moscow spent hundreds of millions of USD to be expanded to meet the requirements of airlines for terminals and runways. But now the air traffic decline as a result of the recession, which greatly affected the consumers and the deepening isolation of Russia.

Until now, when the Russian economy was experiencing difficulties, even during the financial collapse of 1998, international airlines “Reducing the number of aircraft, but always maintained the number of flights”, said Alexis Rodzyanko, president of the American Chamber of Commerce in Russia. “What is happening now is much more dramatic than anything I’ve seen to do so far.”

Delta Air Lines, the only US carrier in Russia, said last week that winter will suspend flights from New York to Moscow for the first time since the Cold War. Delta, which has already reduced its flights for the spring and summer, announced that reduces the capacity of international destinations where “demand is negatively impacted by the decline in oil prices.” Moscow, however, is actually the only destination with cancellations.

EasyJet, which in 2012 boasted a successful entry to the lucrative market, has cut its flights after January 26, as the lack of demand will reduce their number by half by summer. Qatar Airways and Etihad Airways also cut the benefits the number of flights to Moscow in recent months. Air India said it would reduce its flights from Delhi to Moscow to two per week, and Austrian Austrian Airlines and CSA Czech Airlines has already limited the number of trips to destinations within Russia.

Some Russian airlines benefit from the withdrawal of competitors: Aeroflot – the largest carrier in the country, announced that the number of passengers on international routes registered a growth of 7.2% for the first three months of the year. According to the airline decline of the ruble gives “partially competitive advantage”, which can transform Moscow into a more affordable destination.

The new traffic however, is insufficient to stop the cuts in Aeroflot, the airline said it had slashed four routes in the first months of the year and has added only one. Transaero Airlines, another large Russian carrier cancel your order last year to buy 787 Boeing aircraft as a result of market developments. Airports in Moscow will expand at breakneck speed over the past decade, adding shiny new terminals and express trains to the city in order to represent a new class of Moscow international visitors.

Domodedovo International Airport in Moscow said that in March 1442 accounted for fields less than the same month last year, a decline of 7%. The number of passengers fell by 10%. According to Sheremetyevo Airport, the number of passengers on international flights fell by 5.1% in the first quarter of 2015 compared with 2014, the number of all passengers has reported a decline of 0.9%. Overall Sheremetyevo increased number of flights to March 2015 by 0.2 per cent compared with last year.

Weaker demand in Russia is the main reason for the stagnation in the air transport market, but also less foreigners traveling to Russia. According to JLL Consulting hotels in St Petersburg are empty: employment in both the luxury and mid range hotels fell by 7% in 2014 compared to the previous year. The business opportunities are decreasing after several large Western companies pulled many of its international staff and new companies arrive with smaller teams.

Read this next

Digital Assets

e-CNY mastermind Yao Qian arrested in corruption probe

The mastermind behind China’s central bank digital currency (CBDC) project is reportedly under scrutiny for suspected “violations of discipline and law,” according to Shanghai Securities News.

Fundamental Analysis, Market News, Tech and Fundamental

Global FX Market Summary: USD Strength, US PCE, Eurozone April 26 ,2024

US inflation data came in hotter than expected, pressuring the Federal Reserve to potentially raise interest rates and causing the US Dollar to rise against the Euro as the Eurozone faces economic uncertainties.

blockdag

BlockDAG Presale Tops $20.7M! Here’s How to Buy BDAG Coins with USDT and Ethereum for Explosive Gains of 30,000x

Early investors are looking at potentially significant returns in its tenth batch at $0.006 per coin.

Retail FX

Exclusive: Prop firm Funded Engineer faces $50M lawsuit from FPFX

Retail trading tech provider FPFX Technologies, LLC (FPFX Tech), has filed a lawsuit against the prop firm Funded Engineer and its associated operatives for alleged breaches of contract exceeding $50 million in damages.

Market News, Tech and Fundamental, Technical Analysis

USDJPY Technical Analysis Report 26 April, 2024

USDJPY currency pair can be expected to rise further toward the next resistance level 160.00, target price for the completion of the active impulse sequence (C).

Digital Assets

US crypto miner and founders hit with $5.6 million fraud charges

The U.S. Securities and Exchange Commission (SEC) has filed charges against Texas-based cryptocurrency mining and hosting company Geosyn, and its co-founders Caleb Ward and Jeremy McNutt.

Chainwire

BloFin Sponsors TOKEN2049 Dubai and Celebrates the SideEvent: WhalesNight AfterParty 2024

Platinum Spotlight: BloFin dazzles as the top sponsor of TOKEN2049 Dubai, elevating its status with the electrifying WhalesNight AfterParty 2024. Celebrate blockchain innovation and join the night where industry leaders and pioneers connect.

Institutional FX

Eddid helps HK crypto platforms with Bitcoin and Ether ETFs

The brokerage firm will help SFC-licensed virtual asset trading platforms with Bitcoin and Ether ETFs in Hong Kong.

<