002 - Tawakkoli, A. O.

Ahmad Omid Tawakkoli:

An Evaluation of the Open Skies Policy in Afghanistan: Evidence from the Afghan-UAE Air Service Agreement



As a result of the liberalization and privatisation initiatives that took place in post-Taliban Afghanistan, the aviation industry also took steps toward practicing liberal environment of operations. As a particular example is the Afghan-UAE Air Service Agreement (ASA) signed in late 2013, which is an Open Skies Agreement (OSA): an agreement that calls for a total ban on any non-market intervention regarding airfares, capacity, frequency and/or number of designations from the side of eider parties. A comparative study of the Afghan-UAE route in terms of flight frequency and passenger flow 2013-2015 with the Afghan-India route which is governed by a traditional frequency restricting ASA showed that, however, both routes expanded in both terms, the growth rate of included factors of the liberalized route does not exceed those of the traditionally governed one. Meanwhile, the study of the Afghan carriers’ position in the market showed that there is a consistent plummeting trend in Afghan companies share in Afghan-UAE route in terms of flight numbers and passenger load. While the Afghan-Indian route showed that overall, the Afghan companies’ position was improving in studied time periods.

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