KUALA LUMPUR, Sept 3 — The looming Ebola outbreak in West Africa, weakness in the Eurozone, hostilities in Eastern Ukraine and instability in the Middle East may affect airlines growth over the remainder of 2014.
“Airlines are on track to record a profit of some USUS$18 billion (RM57.22 billion) this year. But that is a net profit margin of just 2.4 per cent which does not provide much of a buffer.
“So it is critical that governments shore-up connectivity with business-friendly policies based on reasonable taxation, cost-efficient infrastructure and smart regulation,” said International Air Transport Association (IATA) Director General and Chief Executive Officer Tony Tyler.
Tyler was quoted as saying in a statement by IATA today, which revealed that global passengers traffic for July showed a year-on-year growth of 5.3 per cent.
On July 17, 2014, Malaysia Airlines flight MH17, with 298 passengers and crew on board from Amsterdam to Kuala Lumpur, was believed to have been shot down in the Donetsk region, east Ukraine near the Russian border.
So far no one has claimed responsibility for the horrible act.
It was also reported that Russian President Vladimir Putin and Australian Prime Minister Tony Abbott had discussed how an international probe could be set up following the downing of Malaysia Airlines Flight MH17.
The two leaders had exchanged their views on aspects of organising an independent and objective international inquiry. — Bernama
