• Main
  • News
  • Economy
  • Airfares set to rise due to the escalating situation in Iran – Bloomberg

Airfares set to rise due to the escalating situation in Iran – Bloomberg

Anna Kramarenko
Anna Kramarenko Editor-in-Chief
Airfares set to rise due to the escalating situation in Iran – Bloomberg
Due to the sharp rise in oil prices, some airlines have started cancelling flights.
Due to the sharp rise in oil prices, some airlines have started cancelling flights. Meanwhile, passengers are rushing to book tickets at the old prices, which has led to a surge in demand.

This is according to Bloomberg.

According to Ryanair CEO Michael O’Leary, fuel reserves can protect the company from sharp spikes in fuel prices in the short term. But if oil prices continue to rise, this will be reflected in ticket prices. 

“The average profit in my company is around €10 per passenger,” said Carsten Spohr, CEO of Deutsche Lufthansa AG, at an industry conference in Brussels.

Fuel is one of the biggest cost items for airlines, and the sharp rise in the price of Brent crude to over $118 a barrel has forced some carriers to introduce fuel surcharges and even cancel some flights.

In response, passengers are rushing to buy tickets at the old prices. US airlines were the first to note the rise in demand, stating that they are seeing some of the strongest booking figures, as premium-class passengers and business travellers book seats in advance.

Demand for new Air France-KLM flights to Asia and Africa is “very high”, said CEO Ben Smith.

Lufthansa added 40 extra flights to Asia following a reduction in capacity in the Middle East, and these flights, according to Schpor, “filled up in a matter of days”.

Share tittle
Economy
More
All the electricity put up for sale was sold at the long-term auction
Economy

All the electricity put up for sale was sold at the long-term auction

Energoatom and Ukrhydroenergo have sold all the electricity volumes offered at the first special long-term auctions. In total, the state-owned companies sold 462,148 MWh, to be supplied between August and December 2026.

22.07.2026
The IMF has postponed the introduction of VAT for sole traders until 2028: what will change
Economy

The IMF has postponed the introduction of VAT for sole traders until 2028: what will change

The International Monetary Fund has agreed to postpone the introduction of value added tax (VAT) for sole traders operating under the simplified tax system. Instead of January 2027, the new rules are due to come into force on 1 January 2028.

22.07.2026
After the war, the military levy may be replaced by a reconstruction tax — the government is discussing the idea with the IMF
Economy

After the war, the military levy may be replaced by a reconstruction tax — the government is discussing the idea with the IMF

The Ukrainian government is considering replacing the current 5 per cent military levy with a special tax for post-war reconstruction. This option is included in the updated Memorandum of Cooperation between Ukraine and the International Monetary Fund.

22.07.2026
Court overturns 4 million fine following an inspection of ‘Tekhno Yizhak’
Economy

Court overturns 4 million fine following an inspection of ‘Tekhno Yizhak’

During a retrial, the Kharkiv District Administrative Court quashed a tax penalty of 4,038,423 hryvnias imposed on a business owner following an inspection of a shop in the centre of Odesa. The decision was based on irregularities in the way the inspection was arranged, rather than on a refutation of the tax authorities’ claims regarding the accounting of goods.

22.07.2026
The Innovation Development Fund plans to purchase 860 Starlink Mini units for 17 million
Economy

The Innovation Development Fund plans to purchase 860 Starlink Mini units for 17 million

The Innovation Development Fund has announced a tender for the purchase of 860 Starlink Internet Satellite Mini satellite modems or their equivalents. The maximum funding amount for the purchase, including VAT, is 17.028 million hryvnias.

22.07.2026