IATA Estimates Global Aviation Business to Lose $113bn As an Effect of Covid-19

The International Air Transport Association (IATA) reported the updated impact assessment of the novel coronavirus which showed the estimation of revenues lost for global aviation industry approx. as high as $113 billion. 

IATA addressed that the covid-19 will caused the airlines business worldwide to lose a revenue of $63 billion. The latest estimation is almost four times from the previous forecast lost of $30 billion only 13 days ago, resulting the epidemic spreading in Europe.

IATA’s the limited spread scenario presented a decline of passenger number globally, the passenger in China market dropped by 23%, 12% decrease in Japan, 10% in Singapore, 14% in South Korea, and an 11% decline in Asia Pacific.

“The turn of events as a result of coronavirus is almost without precedent.”, “In little over two months, the industry’s prospects in much of the world have taken a dramatic turn for the worse,” Alexandre de Juniac,IATA’s Director General and CEO, said in a statement. “It is unclear how the virus will develop, but … this is a crisis.”

Noted that this new forecast has excluded lost cargo revenue.