Industry Update
External Article 1 May 2020

Coronavirus Is Reshaping The Airport Experience Of The Future, Part 1

share this article
1 min
Phocuswire Logo

The spread of COVID-19 has put the travel industry in unprecedented financial distress, yet this is not the first time the industry has been challenged by a pandemic.

In the words of many politicians, scientists and business leaders, the world entered "uncharted territory" with the spread of the novel coronavirus.

In addition to the hundreds of thousands of infections and deaths by the virus, the global economy is heading towards a recession, with analysts forecasting a 3.0% reduction in global GDP.

Of the industries that are most impacted by COVID-19's spread, travel, tourism and hospitality is undoubtedly one of the most affected.

According to IATA's revised forecast, airline passenger revenues are expected to fall by $314 billion in 2020, resulting in a liquidity crisis for most airlines.

As per the Centre for Asia-Pacific Aviation (CAPA), half of the world's approximately 800 airlines could be bankrupt by the end of May. This will obviously extend to other travel, aviation and hospitality companies such as airports, ground handlers, hotels, holiday home companies and travel agencies.

Just in the first phase of the outbreak, travel stocks evaporated more than $332 billion between February and March 2020.

Read the full article at Phocuswright, Inc.

Latest News
Advertisements