A Russian Aeroflot plane (Photo: REUTERS/Regis Duvignau)
Thirty-six small and medium-sized Russian airlines, which account for 26% of domestic air travel, could go bankrupt in 2025, The Moscow Times reports, citing Izvestiya on Nov. 13.
Russian air carriers are facing financial difficulties, largely due to accumulated debts from leasing foreign aircraft, which could lead to the revocation of their operating certificates.
Many airlines stopped making leasing payments after sanctions were imposed in 2022.
In 2025, the government allowed them to write off these debts, but they will be subject to a 25% income tax, a financial burden that could force some to close.
Airlines have used leasing funds to maintain their aircraft, but the cost has risen due to sanctions.
Only large carriers like Aeroflot, Ural Airlines, and S7 Airlines were able to purchase leased aircraft using National Welfare Fund resources, with 165 of 400 leased aircraft being bought in the first quarter of 2024.
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