Cheaper flights from Singapore this year thanks to financial slowdown, Amex says

[The_King]

Love travelling? Great news.

A recent report by American Express’ Global Business Travel (GBT) arm has said that the price of flights out of Singapore are expected to be cheaper this year due to a slowdown in the financial sector.

GBT’s Air Monitor 2019 report, published on Monday (Jan 14), predicted airfare trends for the year by analysing five years of flight transaction data and variables like fuel prices and aviation expansion plans.

In general, airfares across the world were expected to remain stable on many of the world’s major air routes – including in the Asia Pacific, GBT said.

But a “financial sector slowdown and the loss of premium class traffic” was expected to push down fares for flights out of Singapore, Hong Kong and Japan – the three countries with the biggest fall in fares among the region.

Though Singapore’s economic outlook for the year was positive, a “slight reduction” in fare prices was expected due to the financial sector slowdown, a GBT spokesman explained.

GBT added that increasing competition, such as budget airlines flying long-haul routes, were helping to keep prices “restrained” on key routes out of the Asia-Pacific.

 

The 2017 merger between Scoot and Tigerair, for example, created a “strong player” in regional budget travel, the report said.

As for premium bookings, GBT said that business class bookings on Singapore Airlines “remained steady” and had not been affected by the increase in Premium Economy seats, which now comprise almost 60 per cent of all seats the airline offers.

“Business travel is still very reliant on Singapore Airlines, who continue to be a major presence in the region,” GBT said.

The report also found that flight prices for premium class seats across the US were expected to see a significant spike due to strong demand, while fares to Middle East destinations were expected to drop due to overcapacity.

 

 

https://www.businessinsider.sg/cheaper-flights-from-singapore-this-year-thanks-to-financial-slowdown-amex-says/