Double-digit growth in India’s domestic passenger demand in Aug ’17

Indian airlines achieved a 36th consecutive month of double-digit domestic traffic growth as demand rose by 16 per cent, according to data released by the International Air Transport Association (IATA). The demand for domestic travel climbed 7.6 per cent this August as compared to August 2016, on pace with the 7.5 per cent growth recorded in July. Capacity rose 6.9 per cent and load factor increased 0.6 percentage points to 84.5 per cent. All markets reported demand increases with the exception of Australia.

The international passenger demand for August rose 7.0 per cent compared to August 2016. All regions recorded increases, led by airlines in Latin America. Capacity climbed 6.1 per cent and load factor edged up 0.8 percentage points to 84.5 per cent.

“Following the strong summer traffic season in the northern hemisphere, 2017 is on course to be another year of strong traffic growth. However, some important demand drivers are easing, particularly lower fares. As we head towards the end of the year we still expect growth to continue, but potentially at a slower pace,” said Alexandre de Juniac, Director General and CEO, IATA.

The global passenger traffic data for August indicated that demand climbed 7.2 per cent as compared to August 2016. The total capacity increased by 6.3 per cent and load factor climbed 0.7 percentage points to 84.5 per cent, which was just below the record for the month set in 2015.