Momentum needed to help aviation industry take off

Many domestic airlines incurred heavy losses last year after being seriously affected by Covid-19. Along with Government support and their own efforts, airlines, however, have overcome the difficulties and are now posting profits. Bamboo Airways can be viewed as a “miracle” in this regard.

 

As a new private enterprise operating in the aviation industry, Bamboo Airways had to face a range of difficulties in 2020 due to the outbreak of COVID-19. Its losses totalled about trillions of VND in the first quarter of 2020.

Taking the initiative, however, it soon switched its focus to the domestic market.

It was the right decision, given that its business results for 2020 increased by 10% to 20%, with pre-tax profit standing at over 17.3 million USD, while other airlines either posted heavy losses or low profits.

Positive business results in 2020 became a driving force for not only Bamboo Airways itself but also for the private business sector to participate in fields that were previously only the domain of State-owned enterprises.

This has made the market more competitive, bringing extra benefits to customers.

Regarding the prospects for the aviation industry this year, analysts have said growth will remain low. It is necessary to create favourable conditions for private concerns to grow, and Bamboo Airlines is an excellent example./.

VNA