Plane passengers 'benefiting from lower fares'

10 December 2015 09:28

Lower fares have boosted the demand for air travel

Lower fares have boosted the demand for air travel

People should carry on flying and refuse to let threats of terrorism change their lives, the director general of the International Air Transport Association (IATA) says.

Tony Tyler's comments come as new IATA figures show that the last 12 months have seen strong growth in the air travel sector.

Mr Tyler, who is also the IATA's chief executive officer, says people's Christmas and New Year celebrations this year are following recent terrorist incidents.

But he says people should not allow those acts or the threat of terrorism to get the better of them or limit their activities, including air travel. Instead, Mr Tyler adds, people should show that they will not let the terrorists alter their lives.

His comments coincide with IATA data that shows the demand for domestic and international flights has been rising.

Total revenue passenger kilometres in October was 7.5% up on a year earlier, with many people likely to have been carrying a travel insurance policy with them.

International passenger demand was 7.6% higher in October than it was during the same month in 2014, with airlines around the world reporting growth.

Airlines in Europe, meanwhile, saw demand jump by 6.7% over the same period, perhaps as a result of the eurozone's economic recovery.

Plane capacity was 5.7% higher than it was 12 months earlier while more seats - up 1.4% to 80.5% - were full on flights, the IATA says.

It says the growth has been fuelled by lower air fares, which it estimates typically fell by 5% during the first eight months of 2015.

Mr Tyler says in general the air travel sector is in a healthy state with passengers benefiting from a downward trend in fares.

He says there is a strong demand for air travel in most regions of the world with the demand for flights outstripping the expansion in capacity.

But he admits the industry is struggling in some places such as Brazil, as a result of a worsening recession, weak currency and high costs.

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