Geneva: Lower oil prices and stronger global GDP (gross domestic product) will see Middle East airlines yielding a net profit of $1.6 billion in 2015, up from this year’s forecast of $1.1 billion, the International Air Transport Association (IATA) said on Wednesday as it revealed its outlook for improved industry profitability for the air transport industry.
The aviation watchdog, however, revised downwards its forecast for the region’s airlines, to $1.1 billion for this year, compared to the $1.6 billion prediction in June.
Globally, IATA sees 2015 airline industry profit at $25 billion, up from the $19.9 billion in 2014 (revised upwards from the $18 billion industry profit projected in June), it said in Geneva on Wednesday.
“Lower oil price has to be good for airlines,” said Tony Tyler, IATA’s Director General and Chief Executive Officer.
