Intense competition ahead for airports worldwide: CAPA

Singapore, July 24 (UNI) Privatisation, liberalisation and new aircraft technologies are putting airports on an inevitable path to increased competition, according to the Centre for Asia Pacific Aviation (CAPA).

Only the best-performing airports will attract levels of investment required to sustain growth, it added.

''Based on projected airline traffic growth rates, there is a global airport capacity crisis looming and governments will need to turn increasingly to the private sector to help fund urgent infrastructure development,'' said CAPA's executive chairman Peter Harbison.

But the competition for funding is hotting up. The rapid expansion of airports in emerging markets like India, China, Eastern Europe and the Middle East is suddenly adding enormous additional demand for investment.

As those countries' airports grow, only the best-performing airports can be assured of funding support into the future. Hub competition will only intensify and more competitors will rise as airline strategy evolves to take advantage of long-range aircraft and emerging growth markets stimulated by expanding economies and relaxed market restrictions.

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