RUSSIA/CIS RISKWATCH – ISSUE 4 – APRIL 2014
Ready for take-off?
By Tim Stanley, Managing Director Russia and CIS
The tragic and still unknown fate of flight MH370 is casting a shadow over the global airline industry, long used to dealing with commercial shocks but arguably less ready to handle something of this magnitude. But our region is not immune from tragic air incidents either. In just the last few years there have been a number of high profile crashes, disappearances, and terrorist incidents involving business travellers flying in and through the region. Indeed, as Anna Gimborn of International SOS and Control Risks notes, Russia and the former Soviet Union have the second worse air safety record after Africa.
In our first article, she examines whether those with a duty-of-care responsibility towards travellers can mitigate the safety risks of travelling by air. Despite these safety issues, the sector – from airport development to low-cost airlines – is ripe for foreign investment. In our second piece, Alfa Fellow Eimear O’Casey, just completing an internship in our Moscow office, takes a look at some of the opportunities and challenges in the sector and asks whether Russia is ready for RyanAir. Finally, we interview Cathay Pacific Country Manager and long-term Russia resident Patrick Garrett and learn some of the challenges of operating a high service quality operation in what remains a demanding market.
Enjoy the reading.