
The world is short of 5,000 aircraft to meet the growing demand for air travel. The increased demand, and also the commitment by airlines to use more sustainable aviation fuel will lead to increased fares for tickets in the coming year. AirBaltic – the largest airline of Tallinn Airport, offering
in this year direct flights from Tallinn to 28 destinations. Photo: Eero Vabamägi
The world is short of 5,000 aircraft to meet the growing demand for air travel. The increased demand, as well as the commitment of airlines to use more sustainable aviation fuels will lead to increase the price of tickets in the coming year.
The International Association of Air Transport (IATA) predicts that in this year the number of air passengers will increase by 6,7%, for the first time exceeding the estimate of five
billion, and the revenues of the airline industry will exceed a trillion dollars. While this is expected to increase airline profits from last year’s 31 billion dollars to 36.6 billion dollars, despite continuing problems in the chains of supply, insufficient infrastructure, excessive regulations and increasing tax burdens.
With the increasing number of people willing to travel, the prices of tickets are also rising But this increase will not be as sharp as in 2022, when after the restrictions related to the pandemic were lifted, prices rose by 36%. According to experts, this year’s average increase in the price of tickets will be about 5%, which is the level of last year. IATA thinks that if carriers could fill airplanes with dynamic pricing, the prices for some passengers might even reduce.
The IATA considers that ifcarrierscouldfillairplaneswithdynamicpricing,