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Sunday, 26 October 2014

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Air travel records 4.5 percent growth in August

Growth in international air passengers improved in August with a rise of 4.5 percent compared to a year ago, up on the July result of 2.6 percent.

The premium and economy passenger numbers rose at the same rate, 4.5 percent. There was also a strong expansion in passenger numbers between August and July, which counters the negative trend seen in previous months.

The expansion in passenger numbers is consistent with signs of improving business conditions, after a period of weakness in international trade and business confidence earlier in the year.

The improvement in international passenger numbers has been supported by strong growth in markets such as Europe - Far East (6.7%) and North and Mid Pacific (7.1%).

The recent weakening of the Eurozone economy is yet to have an impact on air travel growth.

By contrast, air travel within the Far East and markets connected to South America continue to show weakness.

Economic and political turmoil in Thailand has damaged tourism demand over recent months and Malaysian air travel has been impacted by tragedies related to the flag carrier.

The North America-South America market has been hit by capacity cuts to Venezuela and weakness in key economies like Brazil and Argentina.

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