New Delhi, Oct 5
Air carriers' association IATA said on Monday that the global net aviation industry losses are expected to come in at $11.6 billion in 2022, down from $51.8 billion on a year-on-year basis.
"The magnitude of the Covid-19 crisis for airlines is enormous. Over the 2020-2022 period, total losses could top $200 billion. To survive, the airlines have dramatically cut costs and adapted their business to whatever opportunities were available," said IATA's Director-General, Willie Walsh.
"That will see the $137.7 billion loss of 2020 reduce to $52 billion this year. And that will further reduce to $12 billion in 2022. We are well past the deepest point of the crisis. While serious issues remain, the path to recovery is coming into view. Aviation is demonstrating its resilience yet again," Walsh added.
According to IATA, domestic travel demand will be near pre-crisis levels in 2022.
However, the association pointed out that challenge remains in international markets, which are still severely depressed as government-imposed restrictions continue.
"People have not lost their desire to travel as we see in solid domestic market resilience. But they are being held back from international travel by restrictions, uncertainty and complexity. More governments are seeing vaccinations as a way out of this crisis.
"We fully agree that vaccinated people should not have their freedom of movement limited in any way. In fact, the freedom to travel is a good incentive for more people to be vaccinated. Governments must work together and do everything in their power to ensure that vaccines are available to anybody who wants them," Walsh added.
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