Singapore Changi passenger growth slows to less than 1% as LCCs' expansion and tourism slow

Singapore's aviation market grew by only 0.7% in 2014, the smallest increase since the global financial crisis in 2009. Passenger growth in 2015 will again be very modest as capacity is maintained roughly at current levels.

Singapore has been impacted by capacity adjustments by its struggling low-cost carrier sector. Singapore's LCC penetration rate, which increased steadily from 2003 to 1H2014, declined in 2H2014.

Singapore also has been impacted by declining visitor numbers. All of four of Singapore's largest source markets - Indonesia, Malaysia, China and Australia - recorded drops in visitor numbers in 2014. Passenger traffic to Thailand, one of Singapore's largest outbound and transit markets, declined due to the civil unrest in Bangkok.