IATA has predicted airline losses for 2021

Created on 27.11.2020 13:41

In 2021, airlines will have a net loss in amount of $ 38.7 billion or $ 13.78 per passenger, as reported by the IATA.

According to the organization, situation is expected to be improved in the fourth quarter of 2021 if aggressive carrier policy to cut costs and increased demand in the opening of borders will lead to the positive cash flows.

The total passenger traffic next year will be increased by 1 billion people compared to 2.8 billion people. However, IATA stated that these figures roughly fewer 1.7 billion passengers than in 2019.

According to the organization, aircraft loading will be increased from 65.5% in 2020 to 72.7% in 2021. In 2019, the figure was amounted to 82.5%.

IATA believes the traffic recovery will be long and difficult and airlines will be able to resume indicators of 2019 no earlier than 2024. At the same time, domestic flights will be recovered faster than international ones.