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No new airlines will be approved in Vietnam until 2022
Vietnam’s government has placed a freeze on new airline startups until 2022.
The government agreed a transport ministry proposal not to license any new carriers to allow the market to recover and protect current airlines.
Aviation officials don’t expect the aviation market to fully recover for at least two years.
There is sufficient competition for market demand over the next two years, the ministry believes.
It estimates about 42.7 million passengers will fly this year, which is a decline of nearly 50% year-on-year.
The country has five operating airlines – Vietnam Airlines, Jetstar Pacific, Vietjet Air, Vietnam Air Services Company (VASCO) and Bamboo Airways.
Another new carrier Vietravel Airlines has received preliminary approvals and will be allowed to start operations.
by Ray Monthgomery, Asia Pacific editor
TravelMole Editorial Team
Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
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