“Uzbekistan Airways” may be split into several competing companies

There is no coordinated policy of transporting passengers by various types of transport in the republic. This shrinks the availability of the country for tourists. It is identified in the draft Concept of development of the tourism sector in Uzbekistan for the period up to 2025.

It is noted that the civil aviation sector in Uzbekistan is characterized by insufficient air connections, as well as high cost of services.

As stated in the document, it is mainly connected with the monopolistic position of “Uzbekistan Airways”. This led to the slowest growth in international air traffic in the region (2%) and decline of the domestic air transportation market (by 1,9% annually).

In accordance with the Concept, it is planned to develop a system of national civil aviation by:
•  restructuring the national airline into several competing companies that separate aviation, airport management and regulatory body of the aviation. It is noted that in world practice there is no single developed country where the national airline operates airports;

•  studying the possibility of attracting major international air carriers, organization of low-cost air transportation (as per the system of low-cost airline);

•  developing air links between regions of the republic (now all flights between regions are carried out through Tashkent);

It is expected that these measures will provide an increase in the competitiveness of the national airline, development of competition in the market and reduction of tariffs for foreign tourists on aviation transport services.

It is assumed that the appropriate decision will be announced in March 2019.

The document is available for discussion until November 28.