African and Middle Eastern Airlines Face Bankruptcy Risk Amid COVID-19 Quarantines, IATA Warns

6 July 2020 – byPrince@Bladi · 1 min read

Severely affected by the Covid-19 health crisis, airlines in Africa and the Middle East, due to systematic quarantines, are simply at risk of bankruptcy, according to a study by the International Air Transport Association (IATA).

The time has come for a resumption in some companies, after the lockdown, and this despite restrictive measures such as mandatory testing of travelers or their quarantine upon arrival.

During a virtual press conference held on Thursday, IATA’s Vice President for Africa and the Middle East, Mohammed al-Bakri, stated that "the systematic quarantine measures decreed by the governments of 36 countries in his area of responsibility represent 40% of all quarantine measures taken worldwide".

Based on this observation, he called on the governments concerned to find alternatives to quarantine, and to financially assist the companies which, in their vast majority, are heading towards bankruptcy.

In 2020, Middle Eastern companies could record a loss of around 56% of their revenue and 55% of passengers compared to 2019, according to the latest IATA forecasts published on Thursday.

Category: Economy

Keywords:

Air transport