DUBAI (AFP): Emirates, one of the world’s biggest long-haul airlines, has predicted that it would take at least 18 months for travel demand to return to a semblance of normality.
Gulf aviation giant, who suspended regular passenger flights in March due to the coronavirus, also said that it will raise debt to help it through the pandemic and may have to take tougher measures as it faces the most difficult months in its history.
Emirates Group Chief Sheikh Ahmed bin Saeed Al-Maktoum said that the airline had performed strongly in the first 11 months of the fiscal year.
He further said, “However, from mid-February things changed rapidly as the Covid-19 pandemic swept across the world,” adding, “This caused a sudden and tremendous drop in demand for international air travel as countries imposed stringent travel restrictions.”
The Emirates Group Chief also said, “We expect it will take 18 months at least before travel demand returns to a semblance of normality.”
Emirates’ profits were boosted by a fall in oil prices, causing a 15 percent decline in fuel costs to $7.2 billion. However, the carrier saw its annual revenues decline by 6 percent to $25 billion due to the coronavirus pandemic.
Earlier in March, Dubai, whose economy heavily depends on aviation and tourism, said that it would inject capital into Emirates to help it cope with the impact of coronavirus.
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