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Storm clouds multiply in India

As difficult as the past year has already been for India’s airlines, the global financial crisis is making for an even more sombre mood. If the fuel crisis was not enough, international passenger volumes – particularly the important premium travel segment – are under threat as financial sector turmoil intensifies. A sharp fall in the value of the Rupee against the US dollar and Euro has meanwhile made it much less attractive for Indians to travel abroad – virtually overnight.

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