Comment
Cash crisis accelerates at region’s airlines
November 1st 2020
For the second consecutive year, the Association of Asia Pacific Airlines (AAPA) has had to drastically rearrange its annual gathering, the Assembly of Presidents of its member airlines. Read More »
Last year months of anti-government protests in Hong Kong, which had frequently paralysed the Special Administrative Region (HKSAR), prompted a move to a members-only gathering in Kuala Lumpur. This year, not surprisingly, travel restrictions and quarantine measures put paid to Japan Airlines hosting the Assembly in Tokyo. Instead, for the first time, airline leaders will meet in an online, members-only gathering.
A media briefing, also online, will follow a few days later. The AAPA’s airline leaders will have plenty to discuss at the mid-month meeting as they debate options for survival beyond COVID-19. No doubt the impact of the pandemic will top the agenda, particularly as the region’s governments have largely been unresponsive to aviation’s urgent need for borders to re-open and restrictive quarantine measures be relaxed.
AAPA director general, Subhas Menon, points out the region has the lowest rate of infection per 100,000 of the global population, yet it has the highest number of border closures. Asia-Pacific governments are over-reacting and should be less risk averse, he told Orient Aviation in our cover story this month.
A strongly worded motion calling on governments to loosen restrictions will certainly emerge from the Assembly especially as international flying is essential to the recovery of most of the region’s airlines.
In the meantime, staying in business, and that must involve more support from governments, remains the biggest challenge for Asia-Pacific airlines. It is a perilous course to navigate made clear by the International Air Transport Association’s warning that the world’s airlines, on average, have only eight months of cash left to fund their operations.
TOM BALLANTYNE
Associate editor and chief correspondent
Orient Aviation Media Group
RICHARD says:
July 12th 2021 11:23pm