IATA sees serious turbulence ahead
MONTREAL – The airlines continue to feel the heat from the global economic downturn.
The credit crunch is the worst crisis to hit the international aviation industry since the outbreak of SARS, latest IATA research shows. 


IATA said a decline in the number of economy and premium passengers in August, was the first decline since 2003, when an outbreak of SARS slashed airline business. 


“Prospects for premium travel, business travel in particular, look very depressed,” the association says. 


“The financial sector crisis will surely see a very large shrinkage in business travel from this sector. 


“Moreover, the increased likelihood of recession in major economies next year will further weaken both business and leisure travel.”

IATA has meanwhile retained its forecast for a US$4.1 billion combined industry loss next year, stating that although fuel prices are now at half the recent peak, economies have “weakened sharply over the summer monthsâ€.
IATA added, “The industry is highly geared to the economic cycle and has always suffered substantial losses in previous economic downturns.”
Ian Jarrett
Have your say Cancel reply
Subscribe/Login to Travel Mole Newsletter
Travel Mole Newsletter is a subscriber only travel trade news publication. If you are receiving this message, simply enter your email address to sign in or register if you are not. In order to display the B2B travel content that meets your business needs, we need to know who are and what are your business needs. ITR is free to our subscribers.

































Qatar Airways offers flexible payment options for European travellers
Airlines suspend Madagascar services following unrest and army revolt
Phocuswright reveals the world's largest travel markets in volume in 2025
Digital Travel Reporter of the Mirror totally seduced by HotelPlanner AI Travel Agent
Strike action set to cause travel chaos at Brussels airports