Experts find project of Azeri low-cost airline competitive

Through the creation of a low-cost airline "Buta Airways", the Azerbaijani national carrier AZAL is trying to fight for the monopoly in the low-cost market, experts say. The AZAL already possesses some experience in creating a brand for cheap air flights – the AZALJET, but only a small part of this airline's tickets are sold at lowest prices.

The "Caucasian Knot" has reported the first flights of the "Buta Airways", a 100-percent "daughter" of the Closed Joint-Stock Company (CJSC) "Azerbaijani Airlines" (AZAL), are scheduled for autumn of 2017.

According to Turan Khafiz Babal, the head of the AZAL's economic division, the creation of the "Buta Airways" was caused by the economic situation in Azerbaijan and escalated competition in the markets of passenger air travels.

Besides, because of the crisis, the purchasing power of the population has dropped; and people complain about high prices on air tickets. Many prefer to make flights from Georgia; and the AZAL was forced to let foreign low-cost airlines into its market.

The AZAL's decision is also beneficial for consumers, said Togrul Djuvarly, an economic expert and a member of the Azerbaijani National Public Committee for European Integration. Moreover, in his opinion, low-cost airlines will attract more tourists into Azerbaijan.

The basic tariff of the AZALJET is 49 euros. It is applied to short-distance flights, mainly to Istanbul, Ankara, Antalya, Minsk, Kiev, Moscow, Saint Petersburg, Mineralnye Vody, Kazan and Aktau, said a source from the AZAL.

Full text of the article is available on the Russian page of 24/7 Internet agency ‘Caucasian Knot’.