Experts Stress the Urgency of Restoring Air Hub Status
SINGAPORE – Once ranked the ninth largest airport globally, Changi Airport has now plummeted to 134th place in scheduled airline capacity. The number of cities it connects to has dropped from 173 in 2019 to just 97, and only 64 airlines currently operate from the hub, compared to 91 before the pandemic. Experts agree: revitalising Changi’s air hub is critical to Singapore’s economic recovery.
Economic Impact
The air transport sector directly and indirectly supports 375,000 jobs and contributed nearly 12% of Singapore’s GDP pre-pandemic. Beyond its immediate economic significance, Changi’s status as a global hub facilitates Singapore’s position as a regional business centre. According to Associate Professor Walter Theseira of the Singapore University of Social Sciences, frequent, competitive flights make the country a preferred base for global businesses.
However, prolonged border restrictions are threatening this advantage. Aviation analyst Brendan Sobie warns that continued closures may lead to talent and businesses relocating to more open hubs like Dubai.
Current Challenges
Despite slight improvements, Changi Airport and Singapore Airlines (SIA) face significant challenges. While Changi has restored links with a few cities like Munich and Phuket, passenger volumes remain a fraction of pre-pandemic levels. SIA, operating at 33% of its pre-pandemic capacity, carries just 4% of its previous passenger traffic.
Low-cost carriers like Scoot may recover faster when regional borders reopen, but Changi’s ability to reconnect secondary cities in Asia, once a major strength, remains restricted.
Steps Towards Recovery
Singapore has initiated Vaccinated Travel Lanes (VTLs) with some countries, including Germany, but experts note that these measures alone won’t restore transit traffic, which made up 30% of Changi’s pre-pandemic passengers.
DBS Group Research recommends that Singapore lead the region in reopening borders to maintain its air hub and business hub status. Other suggestions include implementing a globally recognised health visa system for streamlined vaccine and testing verifications.
Looking Ahead
Experts remain optimistic about Singapore’s potential to regain its standing. “Singapore’s success as a leading air hub was built over decades and won’t diminish overnight,” said Mike Tansey from Accenture. He emphasised the need to focus on gradually increasing flights and passenger volumes to revive the aviation sector fully.
With decisive action and international collaboration, Singapore can re-establish Changi Airport as a cornerstone of its economy and a symbol of global connectivity.
