Fuel price rises could slow airline industry recovery from COVID-19: IATA

Jet fuel price rises are putting pressure on airlines as they cope with suppressed demand caused by the omicron variant of COVID-19, according to a new report from the International Air Transport Association. The IATA has warned the rise in fuel to its highest level since late-2018 could threaten the airline industry’s recovery, which is also managing a revenue hit thanks to pandemic-related flight cancellations. The concerns come after financial results from Q3 of 2021 showed an easing of the pressure on profits, with a sample of 87 airlines showing the operating loss improved from 13.6% of revenues in Q2 to 2.6% in the next quarter. Additionally, the global airline share price index started the year 2022 on a positive note, rising by 5.8% in the first half of January. <br/>