Fears of a second wave of COVID-19 in Beijing could wipe out the early signs of recovery displayed by China’s air travel industry, which had started to record upward movement in bookings for May and June, says GlobalData’s MEED.

Neha Bhatia, Construction & Infrastructure Editor at GlobalData’s MEED, comments: “The recurring nature of the coronavirus means the Middle East aviation sector must brace itself for a stop-start approach to recovery. Some airports in the region have partially resumed activity, with plans in place to further ease restrictions on air travel from the end of June and early July.”

These developments are critical considering the devastation COVID-19 has caused to the Middle East’s air transport industry. According to the International Air Transport Association (Iata), passenger demand is expected to record year-on-year (YoY) declines of 56% for airlines and 47% for airports. Collectively, the Middle East’s airlines are forecast to record a net loss of $4.8bn, with passenger revenues dropping by $24bn compared to 2019.

Bhatia adds: “Airports in the region could lose around $7bn in revenues this year, with 1.2 million jobs also at risk in aviation and related industries. The lack of an effective vaccine against Covid-19, and ongoing discoveries about the new coronavirus, are fueling confusion about the exact health risks of air travel and further hampering efforts to rebuild consumer confidence. Airline executives in the Middle East must prepare themselves for an uncertain road to recovery in the months to come.”