IATA: 2018 passenger growth to stay above trend, but slower than 2017
Worldwide air passenger traffic was up 8% year-over-year in November, the sector’s strongest rise in 5 months, according to IATA’s November Air Passenger Market Analysis. For the first 11 months of 2017, passenger traffic increased 7.7% over 2016, considerably ahead of the 5.5% 10-year average pace. “We expect another year of above-trend passenger growth in 2018 as a whole, albeit at a slower pace than seen in 2017,” IATA senior economist David Oxley said, citing increases in airline input costs such as fuel prices and labour costs in certain countries. “We are unlikely to see the same degree of stimulation to demand from lower airfares in 2018 than we have in recent years.” Oxley noted that as of Jan 11, oil prices are their highest level since May 2015, and over 50% higher than in mid-2017. <br/>
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IATA: 2018 passenger growth to stay above trend, but slower than 2017
Worldwide air passenger traffic was up 8% year-over-year in November, the sector’s strongest rise in 5 months, according to IATA’s November Air Passenger Market Analysis. For the first 11 months of 2017, passenger traffic increased 7.7% over 2016, considerably ahead of the 5.5% 10-year average pace. “We expect another year of above-trend passenger growth in 2018 as a whole, albeit at a slower pace than seen in 2017,” IATA senior economist David Oxley said, citing increases in airline input costs such as fuel prices and labour costs in certain countries. “We are unlikely to see the same degree of stimulation to demand from lower airfares in 2018 than we have in recent years.” Oxley noted that as of Jan 11, oil prices are their highest level since May 2015, and over 50% higher than in mid-2017. <br/>
