{"id":118628,"date":"2021-07-23T06:33:04","date_gmt":"2021-07-23T06:33:04","guid":{"rendered":"https:\/\/fin2me.com\/?p=118628"},"modified":"2021-07-23T06:33:04","modified_gmt":"2021-07-23T06:33:04","slug":"bubble-burst-new-zealand-suspends-quarantine-free-travel-with-australia","status":"publish","type":"post","link":"https:\/\/fin2me.com\/markets\/bubble-burst-new-zealand-suspends-quarantine-free-travel-with-australia\/","title":{"rendered":"Bubble burst: New Zealand suspends quarantine-free travel with Australia"},"content":{"rendered":"
SYDNEY (Reuters) -New Zealand will pause its quarantine-free travel arrangement with Australia for at least eight weeks starting Friday night, Prime Minister Jacinda Ardern said, as Australia fights an outbreak of the highly infectious Delta virus variant.<\/p> \u201cWe\u2019ve always said that our response would evolve as the virus evolved. This is not a decision we have taken lightly, but it is the right decision to keep New Zealanders safe,\u201d Ardern told reporters in Auckland.<\/p>\n The \u201ctravel bubble\u201d had already been paused for travellers to and from New South Wales, Victoria and South Australia.<\/p>\n The bubble was a rare two-way quarantine-free arrangement in Asia, where countries have kept their borders mostly closed during the pandemic. Plans for a Singapore-Hong Kong bubble have been delayed several times.<\/p>\n Demand for flights between Australia and New Zealand has been more subdued than anticipated since the bubble opened on April 19.<\/p>\n Scheduled airline capacity between Australia and New Zealand this month is about 44% of 2019 levels, according to data from aviation analytics firm Cirium, well below initial forecasts of more than 70%.<\/p>\n Air New Zealand Ltd and Qantas Airways Ltd have been the only operators on the route, and several pauses in the bubble because of small outbreaks dented consumer confidence.<\/p>\n The travel bubble had been launched as test-free as well as quarantine free, but New Zealand this month introduced a testing requirement that made it more costly for Australians to visit.<\/p>\n Air New Zealand said the suspension of the travel bubble was expected to have a short-term operational and financial impact on its business.<\/p>\n The New Zealand government said for the next week there will be return flights for New Zealanders from all Australian states and territories that will require proof of a negative pre-departure test. Passengers arriving from Sydney will be required to spend two weeks in government-managed quarantine.<\/p>\n Qantas and Air New Zealand said that starting July 31, most Australia-New Zealand services would be cancelled, and that they would maintain a small number of flights for essential travel and freight.<\/p>\n