According to the International Airline Association IATA, high oil prices will make flying more expensive than before. Inevitably, airlines will increase ticket prices as a result, says CEO Willie Walsh. At the same time, higher costs are dampening the earnings outlook for the industry, which has only just recovered from the two-year coronavirus pandemic.
It usually takes six months for rising fuel costs to make their way into airline tickets, Walsh said. “But with the very rapid increase we’ve seen, that’s likely to be reflected in prices much sooner,” said Walsh.
According to IATA data, global air traffic grew to 54.5 percent from pre-crisis levels in 2019 in February, after only 50.6 percent in January, as the ommicron wave of infection slowed travel activity. Air freight volume was twelve percent higher than three years ago.
The consequences of the airspace closure due to Russia’s war against Ukraine will only become apparent in March’s traffic figures.
Source: Krone
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
