Review of Fiscal 2015
Business Environment
On the whole, airlines in Japan enjoyed a positive business
environment in fiscal 2015 spurred by the ongoing economic
recovery, a sharp drop in fuel prices and an increase in international
visitors to Japan. The number of foreign visitors rose by 47% from
the previous year to a record high of 19.74 million. On domestic
routes as well, Japan’s economic recovery, demand created by
low-cost carriers (LCCs) and other factors contributed to increased
demand for travel. Despite an economic slowdown in emerging
nations and resource rich nations, geopolitical risks centered in the
Middle East, and other negative factors, it is expected that economic
recovery in Japan and overseas will continue, and demand primarily
on international routes will continue to rise. The declining demand for
cargo transport is also expected to bottom out.