Moscow’s Largest Airport on the Brink of Bankruptcy: Domodedovo Under Financial Crisis
One of Russia’s biggest and most significant aviation hubs, Moscow’s international airport Domodedovo, find itself in a dire financial situation, teetering on the edge of insolvency.
The airport's total debt has skyrocketed to approximately 70 billion rubles, including 34 billion in local currency and another 450 million in US dollars.
The repayment obligations for interest payments in 2025 are expected to reach nearly 8 billion rubles.
The new management is actively seeking strategic investors or investment groups to stabilize its finances.
Currently, negotiations with creditors regarding debt restructuring are ongoing, with the parties reportedly approaching consensus on key issues.
The crisis stems mainly from a sharp decline in passenger numbers and revenue.
In 2023, nearly 20 million travelers used the airport, but in 2024, this number fell to 15.5 million, with projections suggesting further declines of up to 2 million this year.
Revenue has also decreased from 34 billion rubles in 2023 to about 31 billion in 2024, and possibly 30 billion in 2025.
Meanwhile, debts continue to grow, surpassing 7 billion rubles, with additional amounts owed in wages and operational liabilities.
Russian authorities have allowed the airport’s management to forgive tax debt amounting to half a billion rubles, redirecting these funds to wage payments, offering only a short-term relief.
However, this does not solve the core financial problems facing Domodedovo.
Besides financial challenges, the leadership emphasizes the urgent need to modernize infrastructure — notably, completing the construction of a second runway and establishing treatment facilities, which are estimated to cost at least 16 billion rubles from federal funds.
Despite these issues, Domodedovo remains a vital aviation hub serving domestic flights for airlines like S7 Airlines, Ural Airlines, and Red Wings, as well as some international routes.
Yet, the aviation industry in Russia is experiencing a profound crisis worsened by Western sanctions restricting access to authorized Boeing and Airbus service centers.
As a result, repairs now rely on parallel imports, significantly increasing maintenance costs by 38%, which further complicates operational stability.