Global aviation sector on the path of recovery, this year’s loss will be less than previous estimates

In the year 2021, the global aviation sector suffered a loss of $ 42 billion, while in the year 2020, its loss was $ 137.7 billion. It is estimated that in the year 2023, the sector will once again become profitable.

Aviation sector on the way to recovery

With the end of most of the restrictions of Kovid around the world except China, the difficulties on the aviation sector around the world seem to be reducing. The sector estimates that even in the year 2022 aviation sector For will be the year of loss. Although this loss will be much less than the previous estimate and the loss of last year. IATA, the leading organization of the aviation sector, has estimated that the loss of airlines and companies related to the aviation sector around the world will remain 71 percent of the previous estimates, that is, with the recovery, the airlines will make up a lot from the estimated loss this year.

How much can be the loss this year

Aviation sector body IATA believes that the global airline industry may have to suffer a loss of $ 6.9 billion in the year 2022. This is much less than the previous estimate of $ 9.7 billion. The International Air Transport Association (IATA) said on Tuesday that increasing passenger revenue and steps taken to control prices would be the main reason behind the low losses for the airline industry this year. This organization of more than 200 airlines around the world said in June this year that the airline industry could suffer a loss of $ 9.7 billion this year. At the same time, in its forecast of October 2021, a loss of $ 11.6 billion was expected for the year 2022. That is, the recovery in the sector is happening faster than the estimates.

Sector will come in profit in 2023

In its new forecast, IATA said that the global aviation industry will reach a profit-making position in the year 2023 due to the speed of recovery after the Kovid-19 epidemic. It is expected to make a profit of $4.7 billion next year. IATA Director General Willie Walsh told reporters here, we are moving on the right track but we still have a long way to go. The airline industry suffered huge losses during the pandemic. In the year 2021, it suffered a loss of $42 billion, while in the year 2020, its loss was $137.7 billion.