Airlines ‘to make $8.9bn profit’

Giovanni Bisignani, CEO of International Air Transport Association

World’s airlines to make $8.9bn profit, Iata says

The world’s airlines are expected to post a profit of $8.9bn (£5.7bn) this year, an industry body has said, in a sharp upgrade of its previous forecast.

The International Air Transport Association (Iata) said the industry recovery had been “stronger and faster than anyone predicted”.

In June, it had predicted a much smaller profit of $2.5bn. In March, it had expected a loss of $2.8bn.

Iata said increasing demand and stable costs were driving the recovery.

However, Iata chief executive Giovanni Bisignani warned that there was still uncertainty surrounding the strength of the recovery.

“The $8.9bn profit that we are projecting will start to recoup the nearly $50bn lost over the previous decade. But a reality check is in order,” he said.

“There are lingering doubts about how long this cyclical upturn will last.”

This article is from the BBC News website. © British Broadcasting Corporation, The BBC is not responsible for the content of external internet sites.

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