The International Air Transport Association (IATA), due to a sharp change in the exchange rate of the national currency, switched to a daily update of the internal rate. Previously, this was done once a week. In turn, this will lead to the fact that the cost of tickets in ruble terms will change daily.
“Prices for air tickets abroad will now change daily. It used to happen once a week. Today, still according to the old rules, they have already risen in price by more than 20%. Domestic flights are a little slower and less, but will also inevitably become more expensive”, - ATOR reports.
It is noted that on Wednesday prices were updated according to the old rules, and will now be reviewed daily. The internal rate of IATA is pegged to the rates of the Central Bank, and in the period from February 23 to March 1, the dollar was valued at 77 rubles, the euro - at 87.5 rubles. On Wednesday, these values were set at 94 and 105 rubles, respectively. Thus, for every 100 euros of airfare, passengers will have to pay an additional 1,750 rubles. ATOR stressed that the fate of foreign flights is currently vague, and the rise in price of flights is “not the worst thing that can happen to them”.
“For domestic routes, the impact of the ruble exchange rate on the cost is also quite significant, since the costs of owning, maintaining and servicing the fleet of aircraft are mainly denominated in foreign currency. The cost of domestic passenger air transportation will increase by about 850 rubles only due to the collapse of the ruble”, - experts say.
Previously, forecasts were made that the collapse of the national currency for every 10 rubles will lead to an increase in the price of domestic flights by an average of 500 rubles per passenger in one direction.
“We must also take into account the fact that carriers now simply have no other way to make up for lost income, except for raising prices in the domestic market", - ATOR reports.
On February 21, the President of Russia announced the recognition of the independence of the DNR and LNR. On the morning of February 24, Russia announced a military special operation to denazify and demilitarize Ukraine. Western countries have imposed economic sanctions in response. One of the restrictions was the closure of airspace for Russian airlines. So far, it has been announced in the EU and other countries. Rosaviatsia is taking retaliatory measures.