The Covid-19 pandemic has hit all industries severely and resulted in heavy losses across the world. Airlines is one of the major industry that witnessed a dip in income during the second wave as well as the first wave.
Now, Indian airlines are expected to post a consolidated loss of USD 4.1 billion this fiscal, similar to what they are predicted to have acquired in 2020-21, taking the total losses of two years to nearly USD 8 billion because of the pandemic so far.
In addition, they will require about $5 billion of recapitalisation to get through from the pandemic that has decreased air traffic by as much as 90% in recent weeks.
When speaking company wise, the national carrier Air India and leading player IndiGo together will show around $4.5 billion of the combined $8 billion loss. Domestic air passenger traffic in FY22 is expected to be at 80-95 million, up from 52.5 million in FY21 but still under pre-pandemic levels.