Mongolian-based operator, Hunnu Air, recently returned its Airbus A319 aircraft after experiencing poor demand on its international routes. The airline had commenced operations to Paris in early 2014. However, insufficient passenger demand and limited economic growth within Mongolia subsequently prompted the airline to suspended operations to Hong Kong, Tokyo, Shanghai, Bangkok and Paris. The airline now exclusively operates an ageing fleet of Fokker 50 turbo-prop aircraft to a number of regional destinations within Mongolia and two international destinations within China. In early 2014, fellow regional Mongolian-based carrier, Eznis Airways, also succumbed to the economic downturn within Mongolia after consecutive years of poor financial performance and diminishing passenger demand for regional destinations within Mongolia.

Russian-based airline, Polet, has officially entered a six month period of administration after the airline defaulted on a series of payments. An arbitrations court declared that the airline will be placed under the control of an external administrator in an attempt stabilise the airline’s financial position. The court noted that the airline would be under the control of administrators until May 2015, at which time the airline’s financial position will be reviewed.

Air Uganda has officially suspended operations indefinitely after the airline cited it would not have sufficient resources to re-commence operations after being grounded by the Ugandan Civil Aviation Authority (UCAA), in July 2014. In mid-2014, the UCAA was audited by the International Civil Aviation Organisation (ICAO) as a part of the Universal Safety Oversight Audit Programme (USOAP), which identified a number of deficiencies in the regulators ability to adequately oversee and regulate the aviation industry within Uganda. In response to the audit findings, the UCAA decided to suspend the Air Operator Certificates (AOC’s) of all Ugandan-based international operators until a re-certification process could be completed. As a consequence, Air Uganda was required to suspend operations until this process could be completed. The airline noted that the financial losses sustained as a result of this process were too substantial for the airline to recommence operations. Additionally, the airline was also contractually required to return their aircraft to their respective lessors due to the continued grounding of the aircraft.