IATA chief economist Brian Pearce cautioned that if oil prices reached the USD130-150 per barrel range airlines would likely see losses similar to those in 2008 (Bangkok Post, 09-Jun-2011). That price level is unlikely according to Mr Pearce, but the risk of it cannot be completely dismissed. IATA's current oil price forecast for 2011 is for an average of USD110 per barrel. IATA recently revised its global airline profit forecast for 2011 down from USD8.6 billion to USD4 billion.
IATA warns over oil price risk
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LCCs in Latin America: Peru’s rise as an economic star could draw attention from potential operators
As Latin America attempts to climb out of a two year long recession, Peru has emerged as a bright spot in the region – based on air passenger growth and the country’s economic performance. For the seven months ending Jul-2016 Peru recorded 9% passenger growth to 11.2 million, driven by growth of 10.2% in the country’s domestic market.
Peru’s air passenger growth continues to remain promising, as the country’s largest airline – LATAM Airlines Peru – calculates that the country’s trips per capita are slightly below the still-emerging markets of Mexico, Colombia and Brazil, whose passenger growth potential should remain robust once the country’s economy begins to fully recover.
Periodically speculation arises over the potential opportunity for a low cost airline to break into Peru’s market. The country’s growth prospects certainly warrant examination of stimulative opportunities in Peru, but so far the country lacks a true low cost airline.
CAPA-ACTE Global Summit, Amsterdam, 26-28 Oct. The shape of international aviation markets in 2025
This unique CAPA-ACTE Summit will explore how airline partnerships, joint ventures, new airlines and disruptive entrants and technologies will completely alter the competitive dynamic by 2025. Additionally, as new trade routes expand, many new airports and air services will also open.
The next 10 years will witness the most remarkable changes in aviation. The challenges and opportunities they bring will be of similar magnitude.
This singular event, bringing together top level representative of airlines, airports, aviation suppliers and corporate buyers, will embark on an exploration of what the airline industry is likely to face in this coming decade.