Domestic air passenger traffic to expand 8-13% each in FY24 & FY25: ICRA
The aviation industry is estimated to report a similar net loss of ₹3,000-5,000 crore in FY25 as well, says ICRA
The aviation industry is estimated to report a similar net loss of ₹3,000-5,000 crore in FY25 as well, says ICRA
Passenger traffic growth revised upwards to 14-16% in the backdrop of strong recovery momentum; international traffic to cross pre-Covid level in FY24, says ratings agency ICRA
Private airline IndiGo commands the largest market share at 55.2%; followed by Air India at 8.9%; and Vistara at 8.7%
Domestic airlines carried 1,105.10 lakh passengers during January-November 2022, up from 726.11 lakh during the year-ago period.
A bunch of factors explain why fares have hardened, especially where supply is low and erratic and why rating agencies continue to maintain a negative outlook on the sector.
Air traffic was lower than pre-Covid-19 levels of September 2019.
In the fiscal year 2022, the air traffic volumes witnessed a partial recovery of 55%, despite being hit owing to tough travel restrictions during the Covid-19 pandemic years of 2020 and 2021.
The recovery in domestic passenger traffic declined marginally to 91% of pre-Covid levels in June 2022, says ICRA.
India's domestic air passenger traffic stood at 1.14 crore in May 2022, around 7% lower compared to 1.22 crore in May 2019.
Domestically, the recovery in traffic continues and has reached 98% of pre-Covid levels in April and May 2022, says ratings agency ICRA.