MOSCOW, Nov 26 (Reuters) – Russian airways may require extra state funding to assist them repay money owed constructed up because of the coronavirus pandemic and a weakening rouble, a central financial institution report printed on Thursday mentioned.

The report mentioned company debt had risen 14% as a result of COVID-19 and the autumn within the rouble, which has slid greater than 20% in opposition to the U.S. greenback this yr as a result of decrease oil costs, the financial fallout of the pandemic and geopolitical dangers.

These components may contribute to delays in corporations paying their money owed and make it tougher for these in notably hard-hit sectors like aviation to return to pre-crisis stage revenues.

“Given airways’ elevated debt burden and better spending on measures linked to epidemiological security, the trade may wish additional authorities help for them to be in a steady monetary situation,” the central financial institution mentioned.

Russian airways have misplaced round half their income through the pandemic, with passenger site visitors falling greater than 46% within the first 9 months of the yr to only below 60 million individuals.

The Russian authorities earmarked 23.four billion roubles ($309.2 million) in compensation to airways – together with almost 7.9 billion for state service Aeroflot – because the nation grounded flights and imposed lockdowns through the pandemic.

The federal government has additionally supported Aeroflot by buying 50 billion roubles price of its new shares utilizing funds from the Nationwide Wealth Fund.

Russia has resumed some worldwide flights, together with to Britain, Turkey and Tanzania.

($1 = 75.6700 roubles) (Reporting by Elena Fabrichnaya and Gleb Stolyarov; Writing by Gabrielle Tétrault-Farber; Modifying by Jan Harvey)