In addition to confidence-building and stimulus measures, the anticipated slow recovery also adds urgency to the need for emergency financial relief measures. IATA estimates that some 25 million jobs in aviation and its related value-chains, including the tourism sector, are at risk in the current crisis. Passenger revenues are expected to be $314 billion below 2019 (-55%) and airlines will burn through about $61 billion in liquidity in the second quarter alone as demand plummets by 80% or more.
Some governments have stepped up. Examples of relief measures over the last week include:
- Colombia added significant tax relief for airline tickets, jet fuel and tourism to their already comprehensive package of relief measures
- Hong Kong provided another HK$2 billion in relief, including purchasing 500,000 tickets in advance from Hong Kong based carriers to inject liquidity into the airlines.
- Senegal announced US$128 million in relief for the Tourism and Air Transport sector
- Seychelles has waived all landing and parking fees for April to December 2020.
- The 41 Eurocontrol states and their air navigation service providers (ANSPs) delayed EUR1.1 billion in air navigation service charges for February-May until November and through to 2021. Last week a further 13 states and ANSPs also delayed terminal charges, totaling over EUR190 million, for a similar period.