The cash-strapped Indian aviation industry is expected to lose more money with the government’s latest decision. While grounding of flight operations has dried revenue for the sector, the domestic aviation industry will lose millions of dollars in coming days due to the extended lockdown.
“The revenue loss of the aviation industry spread across airlines, airports and retail is estimated to be close to $1 billion-$1.5 billion per month of lockdown,” said Jagannarayan Padmanabhan, practice leader and director, transport and logistic, at CRISIL Ltd.
India’s aviation industry is expected to post losses of $3-3.6 billion in the June quarter because of COVID-19, with airlines sharing the bulk of the hit, Capa India had said in a report last week.
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