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August passenger demand up 4.6% year-on-year

The latest report by the International Air Transport Association (IATA) has unveiled that passenger demand, measured in total revenue passenger kilometers (RPK), climbed 4.6% for August 2016 when compared with the same month in 2015. This represented a slowing from the 6.4% increase recorded in July this year.

Passenger capacity, measured in available seat kilometers (ASK), increased by 5.8% for the same period and load factor slipped 0.9% to 83.8%.

Alexandre de Juniac, director general and CEO, IATA, said, “Growth in passenger demand dipped to 4.6%. While that’s disappointing compared to the previous month’s performance, it is still healthy growth. And although terrorist attacks in Europe have dampened demand, the impact is ebbing.

“Lower airfares are a major factor sustaining demand for air travel and airline profitability is stronger than ever as a result of a better industry structure and efficiency gains. But the lingering impact of terrorist attacks in Europe reminds us that the aviation industry is vulnerable to many external factors beyond its control.

“The risks – including the normal ups and downs of the business cycle – won’t go away. The industry has improved resilience along with its profitability. That will be critical to responding quickly should the business environment change.”

October 6, 2016


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