Demand for Mideast carriers up 17.5% in May

Middle Eastern carriers took advantage of their connecting hubs between continents to record a 17.5 per cent growth in demand in May, while the biggest upturn was recorded in Latin America, with 23.6 per cent growth last month.

International air traffic resumed a strong recovery in May as airlines shrugged off disruption by the volcanic ash cloud over Europe a month earlier, airline association International Air Transport Association (Iata) said yesterday.

Global passenger traffic grew by 11.7 per cent year-on-year in May while freight leapt 34.3 per cent over the same period, latest data from Iata showed.

"Demand rebounded strongly in May following the impact of the European volcanic ash fiasco in April," said Iata's Director-General Giovanni Bisignani. "Passenger traffic is now one per cent above pre-recession levels, while the freight market is six per cent bigger."

Bisignani said earlier this month that the ash cloud spewed out by Iceland's Eyjafjallajokull volcano, which prompted shutdowns of parts of European airspace in April, cost the airlines some $1.8bn in lost revenue.

The strong growth in demand in May outstripped the increase in capacity by airlines, as planes were loaded at high levels of close to 79 per cent for the sixth consecutive month, Iata noted in a statement.

Europe remained the region with the weakest growth, with an 8.3 per cent increase in international passenger demand. That pattern is likely to continue as the region's economies remain troubled, according to the industry body. Robust economic growth in China drove the recovery in the Asia-Pacific region, where passenger demand grew by 13.2 per cent in May. International traffic in North America grew by 10.9 per cent. Airlines are expected to make $2.5bn in profit in 2010.

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