Afghanistan aviation market: Ariana to renew fleet and resume growth, despite intense competition

Ariana Afghan Airlines is planning a long overdue fleet renewal project which will enable the government owned flag carrier to replace its ageing fleet and resume growth. Ariana is aiming to grow its fleet from four aircraft to seven aircraft by the end of 2019 as three 737-800s, two 767-200s and two ATR 42s are acquired.

The airline aims to launch five new international routes with the 737-800s, extending Ariana's network to 12 international destinations. The ATR 42s will be used to expand the domestic network beyond the current five destinations.

Ariana is a tiny flag carrier, carrying less than 500,000 annual passengers, in a small and challenging market. Competition is intense as Afghanistan also has two privately owned airlines and an open international market served by aggressive foreign airlines. Consolidation is inevitable, particularly if Ariana succeeds at expanding in both the domestic and international markets.