Novoair, a leading private airline in Bangladesh, faces challenges in its fleet expansion plans due to a global shortage of aircraft available for lease. Since May last year, the airline has been striving to lease three aircraft to expand its international network to six destinations stated in a report.
The airline initially planned to expand its fleet with Airbus A321 aircraft but revised its strategy to Airbus A320s due to unavailability. Efforts to lease Boeing 737s have also been unsuccessful due to similar shortages. Novoair explored the ACMI (Aircraft, Crew, Maintenance, and Insurance) leasing model but found it commercially unviable due to regulatory restrictions and short-term availability.
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Competition from larger airlines and concerns about foreign currency payments in Bangladesh have further complicated the leasing process. Novoair’s Managing Director, Mofizur Rahman, estimates it may take over a year to acquire the necessary aircraft. The airline is also working to upgrade its existing ATR 500s to ATR 600s, though sourcing spare parts for these aircraft remains challenging.
Despite these setbacks, Novoair plans to invest $25 million to $30 million in its expansion over the coming years. The airline aims to launch services to six international destinations, including Bangkok, Kuala Lumpur, Singapore, Dubai, Sharjah, and Muscat.
Since its inception in 2013, Novoair has completed over 100,000 flights and served more than 7.5 million passengers, earning accolades for its on-time performance and passenger safety. The airline currently operates domestic flights across Bangladesh and plans to resume international services to Kolkata soon.
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