MidEast airlines see passenger demand stalling in May

IATA says demand growth slowed to 0.8% compared to a year ago, from 2.9% annual growth recorded in the previous month
MidEast airlines see passenger demand stalling in May
By Sam Bridge
Sat 21 Jul 2018 10:15 AM

Middle East carriers’ May passenger demand growth slowed to 0.8 percent compared to a year ago, from 2.9 percent annual growth recorded in the previous month.

The International Air Transport Association (IATA) said in a statement that the earlier timing of Ramadan this year may have affected the result, but more broadly, the upward trend in traffic has slowed compared to last year.

May capacity increased 3.7 percent, and load factor fell 1.9 percent to 67.5 percent, IATA added.

Globally, IATA said passenger traffic results for May showed that demand rose 6.1 percent compared to the same month in 2017, which was a slight pickup from 6 percent year-over-year growth for April.

Capacity climbed 5.9 percent and load factor rose 0.1 percent to 80.1 percent.

Alexandre de Juniac, IATA’s director general and CEO, said: "May was another solid month in terms of demand growth. As had been expected, we saw some moderation, as rising airline costs are reducing the stimulus from lower airfares.

"In particular, jet fuel prices are expected to be up nearly 26 percent this year compared to 2017. Nevertheless, the record load factor for the month signifies that demand for air connectivity is strong."

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