Headwinds persist for South-east Asia's airlines in 2019

They will be buffeted by competition and pressure on yields but easing fuel costs offer some relief

Nisha Ramchandani

Published Wed, Dec 26, 2018 · 09:50 PM

COMPETITION and pressure on yields are likely to present recurring headwinds for South-east Asia's carriers, going into the New Year.

According to the International Air Transport Association's (Iata) latest forecast, the industry's collective bottom line should rise 10 per cent to US$35.5 billion in 2019, driven primarily by North America which will contribute roughly half of that amount. For this year, Iata projects that the world's airlines will amass US$32.3 billion in profits.

Revenue is projected to increase nearly 8 per cent to US$885 billion in 2019 as passenger numbers and cargo volumes expand, although slower demand growth for passenger and cargo traffic is expected compared with 20…