Domestic passenger traffic is expected to witness a de-growth of 41-46 per cent in FY2021 with first half of FY2021 witnessing a sharper de-growth followed by some recovery in second half of FY2021, as the airlines resume operations in a phased manner from June 2020.
Furthermore, the impact of the Covid-19 outbreak will last longer on international travel than domestic travel. Thus, ICRA expects the FY2021 international passenger growth for Indian carriers to witness a significant Y-o-Y de-growth of 67-72 per cent. As the operations of the airlines have been shut from March 25 till at least May 17, there is a complete loss of revenues.
