The transportation ministry of Vietnam has proposed to focus on the recovery of the existing air carriers operating both domestically and internationally and as a result have chosen not to approve any new airlines until 2022.

The decision comes as a measure to provide local airlines with some breathing room after the recovery of the aviation market in Vietnam following COVID-19 induced downturn. On July 13, CEO of Vietnam Airlines told that the company has already lost US$2.2 billion in revenue this year and will definitely need liquidity support to keep operations afloat.

In recent years Vietnam has become a popular market for airlines to begin their operations. The newest airline based in Vietnam is Bamboo Airways which commenced flights in January 2019.