• Thu. Aug 4th, 2022

Middle East Business: Airline industry recovery stronger than expected, says IATA chief

ByKimberly A. Brochu

Jun 22, 2022

The airline industry’s recovery is stronger than expected, IATA Director General Willie Walsh said in an interview with CNN’s Richard Quest, discussing growing demand, high oil prices and continuing chaos. at airports.

Walsh and Quest spoke at Iata’s Annual General Meeting and Global Air Transport Summit in Doha, Qatar on CNN’s Quest equals businesswhere industry leaders came together to discuss the complex challenges facing the aviation sector.

Walsh told Quest that the main issue will be rising oil prices. “The number one challenge that airlines will face will be the price of oil. We have seen a significant spike this year,” he said.

He continued: “Good news, the airlines are somewhat depreciated, they have hedges in place, which will soften the blow in 2022 and to some extent in 2023. But ultimately this price will have an impact on airlines and it’s going to have an impact on consumers.

With rising oil prices coming just after the pandemic, Walsh said it was “inevitable” that the price increase would be passed on to customers. “Airlines will have no choice but to reflect higher oil prices in ticket prices,” he noted. – TradeArabia Press Service