World Bank estimates that in the period of 2016-2021, Vietnam aviation industry has a compound growth rate of 17.4% while ASEAN average is 6.1%. The report also forecasts the growth of Vietnam aviation in the period 2016-2026 will even be higher, up to 20%.
As the living standards of people are increasing, the middle class is growing strongly in both Vietnam and the ASEAN region. It is forecasted that Vietnam’s middle class will increase to 33 million in 2020. This means that in the near future, many people will have enough income spending for travels.
At the same time, the supply in this industry has also been promoted through efforts of ASEAN governments to liberalize air transport among countries. ASEAN Open Sky Agreement is on its road to gradually reduce aviation industry barriers. This policy would replace all existing bilateral or multilateral aviation policy structures, continuing to allow ASEAN countries and regional airlines to benefit from the growth of air travel from all over the world.