THE International Air Transport Association (IATA) has unveiled its latest report on global passenger demand for January 2024, revealing a promising start to the year despite economic and geopolitical uncertainties. The data, based on revenue passenger kilometres (RPKs), show notable increases in overall demand, available seat capacity (ASK), and load factor across international and domestic markets.
According to the report, there was a significant surge in global passenger demand, with an overall increase of 16.6 percent in RPKs compared to January of the previous year. This growth was complemented by a 14.1 percent rise in available seat capacity, indicating a strong recovery in air travel following the challenges posed by the Covid-19 pandemic. The load factor, a key indicator of airline efficiency, stood at 79.9 percent globally, reflecting a robust performance across the industry.
Willie Walsh, Director General of IATA, commented on the report, stating, ‘2024 is off to a strong start despite economic and geopolitical uncertainties. As governments look to build prosperity in their economies in the busiest election year ever, it is critical that they see aviation as a catalyst for growth. Increased taxes and onerous regulations are a counterweight to prosperity. We will be looking to governments for policies that help aviation to reduce costs, improve efficiency and make progress towards net zero CO2 emissions by 2050.’
The report also provides insights into regional performances, highlighting notable trends in international passenger markets:
African airlines: African airlines experienced an 18.5 percent increase in traffic compared to January 2023. However, capacity rose by 19.2 percent, resulting in a slight decline in the load factor to 73.3 percent, the lowest among all regions.
Asia-Pacific airlines: Traffic for Asia-Pacific airlines surged by 45.4 percent in January 2024 compared to the previous year, driven by the lifting of pandemic restrictions. Capacity increased by 48.1 percent, with China leading the rapid recovery. The load factor fell slightly to 82.6 percent, reflecting the exceptional growth in the region.
European carriers: European carriers witnessed a 10.8 percent rise in traffic compared to January 2023, with capacity and load factor also showing modest increases. Routes between Europe and North America demonstrated strong rebounds from the pandemic, surpassing pre-pandemic levels.
Middle Eastern airlines: Middle Eastern airlines recorded a 16.2 percent increase in traffic, accompanied by a rise in capacity and load factor. The region continues to show resilience amidst ongoing challenges.
North American carriers: North American carriers saw a 12.3 percent rise in traffic, albeit with a slight decline in load factor. The region remains on a path of recovery, with routes between North America and Europe experiencing notable growth.
Latin American airlines: Latin American airlines experienced a significant uptick in traffic, up by 17.9 percent compared to January 2023. Capacity expansions resulted in a remarkable load factor of 86 percent, the highest among all regions.
In domestic markets, China continued to lead in demand growth, particularly driven by Lunar New Year travel. Chinese carriers responded by increasing capacity, including the deployment of wide-body jets, to accommodate the surge in passenger traffic.
Overall, the IATA report underscores the resilience and recovery of the global aviation industry, with strong performances observed across regions despite lingering uncertainties. As air travel continues to rebound, stakeholders are optimistic about the sector’s prospects for sustainable growth and innovation in the months ahead.