Elevated ATF prices, rupee depreciation likely to pose threat to domestic carriers’ recovery: Report

Elevated Aviation Turbine Fuel (ATF) prices and Rupee depreciation are likely to pose a serious threat to the recovery process for domestic carriers, credit ratings agency ICRA NSE 0.04 % said on Wednesday. In India, ATF accounts for around 45 per cent of the operational cost of an airline.

Besides, as much as 35-50 per cent of the airlines’ operating expenses are US dollar driven, as per ICRA.