AZE.US
Former Azerbaijani Finance Minister Fikret Yusifov has sharply criticized the cost of air travel from Baku, saying Azerbaijan’s national airline AZAL needs a serious audit after years of unresolved pricing problems.
Speaking on Prime TV Azerbaijan, Yusifov said the issue has become especially painful during the summer season, when students return home, families travel for vacation and Azerbaijan’s land borders remain largely closed.
The program cited the example of a Baku-Istanbul ticket with baggage reaching about 1,200 manats (about $706) on nearby dates.
Yusifov said the problem is not new. He recalled that he had spoken publicly about AZAL’s problems as far back as 1996, and argued that little has changed in 30 years.
“I do not see that the situation has changed for the better in any form,” he said.
According to Yusifov, the main problem is the lack of real competition. He said the arrival of several foreign airlines in Azerbaijan does not automatically mean that a healthy competitive market exists.
“Bringing one or two airlines here does not mean there is competition,” he said. “If they came to the market, why did their arrival not change prices?”
Yusifov said AZAL needs a serious and detailed inspection, not a superficial review. He said the audit should examine procurement, service contracts, operating costs and the overall structure of ticket prices.
“Today AZAL needs a serious audit. Not a formal one, but an audit covering many years,” he said.
The former minister argued that if procurement costs are inflated, those costs eventually appear in ticket prices. He gave a simple example: if an item that should cost 2 manats (about $1.18) is purchased for 8 manats (about $4.70), the difference goes into the cost structure and is ultimately paid by passengers.
Yusifov also questioned why flights from Baku are so expensive when Azerbaijan is an oil-producing country. He compared prices with Turkey and neighboring markets, saying that passengers from Azerbaijan often travel to Tbilisi or Kutaisi to find cheaper flights to Europe.
He said flights from Kutaisi to European cities can sometimes cost 30-50 euros, while prices from Baku are several times higher.
The former minister also pointed to the Istanbul route, saying tickets from Yerevan to Istanbul can be found for around $164, while flights from Baku may cost several times more.
“Is Azerbaijan not an oil country?” Yusifov asked. “Someone from the relevant bodies should come out and explain this to society.”
He said the high prices are even harder to justify while citizens have limited options to leave the country by land. In practice, many people must either pay expensive airfares or build complicated routes through neighboring countries.
Yusifov said a smart airline management model would work differently: keep prices reasonable, increase the number of passengers and make money through higher turnover.
“A smart manager sets a normal price, increases the number of flights and passengers, expands turnover and earns from that,” he said.
He also criticized the quality of service, saying the concept of customer satisfaction is weak because passengers often feel they have no real alternative.
“When there is no other choice, the business logic changes. It becomes: this is what we offer, whether you like it or not,” Yusifov said.
The former minister said the AZAL issue is not only about one company. In his view, it reflects a broader problem in Azerbaijan’s economy: weak competition, poor accountability and decisions that place the final burden on ordinary citizens.
AZE.US