Industry revenues are also forecasted to cross the $1 trillion milestone, supported by declining oil and fuel prices, and the recovery of travel and tourism rates post the COVID19 pandemic.

While all regions are expected to achieve collective net profits in 2024 and 2025, profitability will vary. Middle Eastern carriers are forecasted to lead with a net profit margin of 8.2%, while African airlines will have the weakest margin at 0.9%, IATA noted.

Despite these positive figures, Willie Walsh, IATA’s Director General, highlighted issues such as supply chain disruptions, infrastructure shortcomings, and rising taxes.

Aircraft and engine delivery delays remain a significant concern, with only 1,254 planes delivered in 2024, 30% below projections, leaving a backlog of 17,000 undelivered planes. These delays force airlines to operate older, less efficient fleets.