Airfares are expected to rise by 50%, according to an association.
According to the International Air Transport Association (IATA), airfares are expected to rise dramatically by 43% to 54% compared to 2019, depending on the region, just to cover the costs of the coronavirus pandemic.
247 Analysts and the International Air Transport Association (IATA) estimate that air travel will be more complicated, time-consuming, and up to 50% more expensive during the coronavirus crisis. With fewer seats available, airline costs will increase. According to IATA, airfares are expected to rise dramatically by 43% to 54% compared to 2019, depending on the region, just to cover costs. This information comes from the newspaper Valor Econômico.
In Latin America, the equilibrium occupancy rate is 79%. With reduced seating capacity, limited to 62% occupancy, airfare prices in the region will have to rise by 50%. The average cost of a ticket will jump from US$146 before COVID-19 to US$219 in the near future in the region, according to IATA calculations. The cost would be 43% higher in Africa and the Middle East, and 54% higher in Asia-Pacific.
“Prices will probably fall again over time, when global networks return to normal,” says Professor Andreas Wittmer, director of the Aviation Research Institute at the University of St. Gallen (Switzerland). “I think that will be the case in 1 to 3 years after we have the drug against Covid-19.”
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