The industry made a dramatic recovery in 2022 and 2023, bouncing back from record pandemicera losses to near-2019 levels.
However, persistent supply issues and thin profit margins are among the obstacles to aviation's strong showing.
FULL GLOBAL RECOVERY
Association of Asia-Pacific Airlines (AAPA) director-general Subhas Menon said: "In 2024, air travel recovery will be complete." The International Air Transport Association (Iata) forecasts that in 2024, airlines will make US$25.7 billion (S$34 billion) in profits, on the back of a record US$964 billion in revenue.
It expects all regions to hit pre-pandemic passenger levels by end-2023 - except for the Asia-Pacific, where full recovery is anticipated in early 2024.
For 2023, global revenue passenger kilometres (RPK) are expected to be 38.4 per cent higher than in 2022, but still 4.8 per cent short compared with 2019.
Defined as kilometres travelled by paying passengers, this is a key indicator of passenger demand and airline performance. Iata expects RPK to grow 9.8 per cent in 2024, rising to 4.5 per cent above 2019 levels.
All this is based on a projected 4.7 billion air passengers in 2024, 9 per cent more than the 4.5 billion in 2019.
PROMISING DEMAND
The strong performance in 2023 bodes well for the coming year, said observers.
Mr Manfred Seah, chief financial officer of aviation gateway services provider Sats, said: "The global passenger travel recovery is encouraging, despite the continuing macroeconomic uncertainties and current geopolitical situation." AAPA's Mr Menon highlighted a trend of discretionary spending going to services such as food and beverage, entertainment and tourism, rather than material goods.
He believes this will continue in 2024.
Bu hikaye The Straits Times dergisinin December 27, 2023 sayısından alınmıştır.
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Bu hikaye The Straits Times dergisinin December 27, 2023 sayısından alınmıştır.
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