Domestic passenger traffic to de-grow by 41-46% in FY21: ICRA

In a recent report released by ICRA, domestic passenger traffic is expected to witness a de-growth of 41-46 per cent in FY2021 with the first half of FY2021 witnessing a sharper de-growth followed by some recovery in second half of the FY2021, as the airlines resume operations in a phased manner from June 2020. According to the credit rating agency ICRA, the impact of the Covid outbreak will last longer on international travel than domestic travel. Thus, ICRA expects the FY2021 international passenger growth for Indian carriers to witness a significant year-on-year de-growth of 67-72 per cent. As the operations of the airlines have been shut from March 25, 2020 till at least May 17, 2020, there is a complete loss of revenues.