Air Vanuatu files for bankruptcy protection after flights cancelled

Air Vanuatu has filed for bankruptcy protection (Alamy/PA)

Air Vanuatu filed for bankruptcy protection on Friday a day after the South Pacific state-owned carrier cancelled all international flights, stranding thousands of travellers.

The airline on Wednesday cancelled more than 20 flights to and from the Australian cities of Sydney and Brisbane, and the New Zealand city of Auckland for the rest of the week.