Statistics from the International Air Transport Association (IATA) announced traffic results for July and it showed that global passenger travel was up 5.9 percent over July 2010.
Freight markets were stagnating with a 0.4 percent demand decline over previous year levels. Tony Tyler, IATA’s Director General and CEO said passenger travel bucked the gloomy economic outlook with a 5.9 percent increase in July.
He said: “This increase was likely based on the much more optimistic economic outlook that marked the beginning of the year. With business and consumer confidence now tanking, sluggishness in international trade and high fuel prices, the expectation is for a weaker end to the year. We are already seeing this in the shrinking air freight markets, which were 0.4 percent down the previous year.”
The statistics also noted that international passenger markets, grew by 7.3 percent compared with July 2010 and it remained stronger on average than domestic markets which showed weaker growth of 3.5 percent year over year.
“Compared to pre-recession levels of early 2008, international passenger traffic has expanded by 12 percent. Had the industry continued to grow at the pre-recession pace of 8 percent, international markets would have been about 14 percent higher than today’s levels and a quarter higher than pre-recession level. This confirms that the global financial crisis has cost airlines about two full years of growth,” the report said.