Domestic carriers may post loss of Rs 21,000 crore this fiscal: Report

MUMBAI: Domestic carriers are expected to post losses to the tune of Rs 21,000 crore this fiscal as against a net loss of Rs 12,700 crore reported in the financial year ended March 2020, impacted by lower revenue and higher costs, ratings agency Icra said on Thursday.

At the same time, the industry’s debt level is also expected to increase to around Rs 500 crore (excluding lease liabilities) over 2021-22, while it would require an additional funding of Rs 350-370 crore over 2022-23, it said in the release.

The ratings agency has also revised downward its passenger traffic forecast with domestic passenger traffic estimated to decline 62-64 per cent this fiscal from the earlier forecast of 41-42 per cent.