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Pandemic crisis “longer and deeper than anyone would have expected” declares global airline association
April 22nd 2021
The International Air Transport Association (IATA) said overnight the outlook for airlines had deteriorated in the first months of 2021 due to difficulty in controlling COVID-19 virus variants and slower than expected vaccination rollouts. Read More » Airlines are expected to post a collective US$47.7 billion net loss for calendar 2021, an improvement from the US$126.4 billion net loss recorded in calendar 2020, but a 25.5% deterioration from IATA's previous forecast, in November 2020, of a US$38.7 billion net loss for 2021. "This crisis is longer and deeper than anyone could have expected," IATA director general, Willie Walsh, said. "Losses will be reduced from 2020, but the pain of the crisis increases."
Asia-Pacific carriers are forecast to post a collective US$10.5 billion net loss for calendar 2021, down from November's forecast of a US$7.5 billion net loss for the year. "The Asia-Pacific remains a very mixed region, with airlines in China and Australia benefiting from good virus control and large home markets," IATA said. "But a very risk averse approach to travel restrictions means very little recovery of international passenger revenues is expected." Asia-Pacific airlines recorded a collective US$35 billion loss in 2020.
