Domestic Tourism and Travel Costs in Russia: Summer Projections

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Domestic Tourism and Travel Costs in Russia: Projections for the Summer

Recent remarks from Maxim Reshetnikov, head of the Ministry of Economic Development, indicate that the country could see a noticeable uptick in domestic tourism this summer. He suggested that the number of travelers within Russia may rise by about five percent, while the prices for domestic flights could climb by around ten percent. These projections were shared during a meeting with President Vladimir Putin and were reported by TASS. [TASS]

In a parallel assessment, Igor Chalik, deputy minister of transport, forecast a more substantial price increase for internal air travel, estimating a rise of roughly 15 to 30 percent in comparison with 2022. The expected surge is linked to a reduction in government subsidies that supported aviation and related costs in previous years. [TASS]

Reshetnikov also commented on hospitality costs, predicting that hotel rates for July would likely be higher than those seen in 2022 by an eight to fifteen percent margin. Specifically, he noted that the average price for a three-star hotel would exceed 4,700 rubles per night, roughly eight percent above the prior year. For four- and five-star properties, he anticipated a much larger increase, around fifteen percent, reflecting stronger demand in the premium segment. [TASS]

Officials attributed the premium segment’s price pressure to increased demand among wealthier travelers who are seeking high-end accommodations during the peak tourist season. This trend aligns with broader expectations of a reviving domestic travel market, even as subsidies diminish and operational costs rise in the hospitality and aviation sectors. [TASS]

Prior data pointed to a strong preference for domestic travel among Russians, with about 93 percent of early flight reservations historically being for internal routes. The latest projections for the upcoming summer reinforce the notion that domestic travel will play a central role in the country’s tourism landscape, influencing both consumer choices and pricing dynamics across airlines and hotels. [TASS]

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