Omicron response will erode India’s domestic capacity gains

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India is seeing a rapid spike in COVID-19 cases due to the omicron variant, a development that is likely to stall or even reverse the country’s impressive rebound in domestic air travel. The crucial questions now are how severely domestic demand will be affected, and for how long.

The new wave has already caused a delay in plans to open borders to more international flights. Now it is hurting domestic travel too, as Indian states begin to reintroduce travel restrictions and airlines cut back capacity plans. India is certainly not alone in this predicament as omicron concerns affect countries all over the Asia-Pacific region.

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