Airlines to trim losses by Rs 2,000 cr in 2010: Iata

New Delhi: Global airline industry body International Air Transport Association (Iata) on Thursday said Indian airlines would cut its losses by more than a quarter to about Rs 2,000 crore in 2010, as passenger traffic has rebounded on the back of strong economy.
“The domestic traffic (in India) has grown 20% in the last year. Another positive for carriers in 2010 is the price of fuel," Iata director-general Giovanni Bisignani said here at a CII conference.
Domestic carriers, including Jet Airways, Kingfisher Airlines and Air India are estimated to have together lost about Rs 8,000 crore in the financial year ending March 2010.
Iata, which represents nearly 80% airlines in the world, has already revised the profit forecast positively. It has predicted a profit of $8.9 billion this year for global airlines as against its June estimate of $2.5 billion.
Bisignani meanwhile lobbied for relaxation in foreign direct investment (FDI) rules so that foreign carriers could invest in cash-starved local carriers. "India allows 100% FDI in mass rapid transport systems, ports and harbours, hotels and tourism. But it restricts foreign ownership of airlines to 49%, the IATA director-general said.
24/09/10 Financial Express

To Read the News in full at Source, Click the Headline

Categories: Indian Aviation- In General Sep 2010