National flag carrier Vietnam Airlines said it will raise airfare for its domestic routes from starting on December 15.

Five domestic air routes will see price hikes. The highest increases will be a 20% for economy class tickets. Increases in business class rates will be more modest, which will be capped at 5%.

Vietnam Airlines is the first carrier in Vietnam to announce an increase in prices since the Ministry of Transport raised the ceiling for airfare price increases. 

Routes which see the most traffic, such as those travelling between Hanoi, Ho Chi Minh City and Danang, will see about a 15% price increase, while shorter routes, where other means of transport are viable, will see the highest increases, of up to 20%. 

Vietnam airlines also pledged to diversify ticket levels in order to better serve the demands of individual passengers needs. 

The new standard price for a ticket on the Hanoi-Ho Chi Minh City route will be VND2.56 million (USD121.9), excluding taxes and fees. Still, customers may be able to book at the lower rate of VND1.05 million (USD50), depending on time of booking.

This is the second time this year Vietnam Airlines has raised its airfare on domestic routes. The first was in April.