Aviation in Kazakhstan: insights from Peter Foster, CEO of Air Astana
Central Asia has been, these last few years, one of the hottest regions in the world when it comes to the growth of the commercial aviation industry.
And, of course, Kazakhstan, as the largest country in the region, has been at the centre of this trend.
On 29th April 2025 I was in Astana, the rather futuristic newly-developed capital of Kazakhstan, for the 7th Central Asia Aviation Summit and to interview on stage Peter Foster, CEO of the largest airline in Central Asia, Air Astana.
It is always fascinating to talk with such an experienced aviation executive. Mr. Foster has been at the helm of Air Astana for nearly two decades and before that he had to executive roles at several airlines in Asia, so he knows the industry inside out.
What’s next for Air Astana?
So, I asked Mr. Foster about his vision for Air Astana and the broader commercial aviation industry in Kazakhstan and this is what he told me and the audience.
Both Air Astana and its low-cost subsidiary, FlyArystan (whose CEO, Richard Ledger spoke at the conference right after our session) have benefited tremendously from the rise of the middle class in Kazakhstan, but also, and very importantly, by remaining very commercially oriented and cost-conscious.
In fact, I was stunned to learn Air Astana has a cost per passenger km which is on par with some of Europe’s top low cost carriers, and this despite delivering and outstanding full-frills service, even in economy class. FlyArystan’s cost are even lower!
During the COVID period, Air Astana had to experiment with some new destinations, which were basically the places that were at least partially open, like the Maldives and Montenegro. These routes worked so well that the airline has kept most of them, at least during the summer season.
And, what’s more, the Airbus A321LR, which had seen their range extended by the addition of extra fuel tanks (a joint project with Airbus) has proved to be a great and very flexible aircraft for the type of routes Air Astana flies internationally. Air Astana will keep adding aircraft in the next few years (not least with the arrival of new B787s) and plans to get 80 aircraft (from the current 60) by the end of this decade.
This will allow Air Astana to keep opening new markets. Japan is already planned for next year and other destinations in Asia are likely to follow.
I also asked about the role of connecting passengers, given Kazakhstan’s location at the centre of the Eurasian landmass and Mr. Foster confirmed that, while Air Astana’s business case was not built upon it, connecting passengers accounts for a significant amount of its traffic.
O&D traffic has also been stimulated by the emergence of Central Asia of a rather fashionable tourist destination of late. But this goes both ways, and some 19 new airlines have entered the Kazakh market recently, including tough competitors like Wizz Air and IndiGo.
But Mr. Foster is not that worried that much about this increasing competition in the region, he pointed out a much more concerning threat is a potential retreat from globalization due to geopolitical tension that closes borders to trade and people, leading to less travel overall.
In any case, Air Astana is also diversifying by leveraging its role at the centre of Kazakhstan’s aviation ecosystem. It has been expanding its in-house MRO capabilities and it is preparing to launch its own ground handling subsidairy, Air Astana Terminal Services (ATS).
So, exciting times for the aviation industry in Kazakhstan and its surrounding region! This is an impression that was confirmed by the broad range of senior aviation professionals at the Summit, from pretty much all segments of the industry: airlines, airport, MROs, training, aircraft finance and leasing and other related services.