Airlines around the world will need at least $ 60 billion to pay compensation to their passengers on flights canceled due to a pandemic. According to estimates by the International Air Transport Association, the number of flights worldwide since the beginning of April has decreased by 70%. Kazakhstani companies are also under attack. As Atameken Business Channel has already reported, domestic carriers may lose about 300 billion tenge during a pandemic. According to the head of the Aviation Administration of Kazakhstan, Peter Griffiths, the process of recovery of the industry may drag on for up to two years.

Peter Griffiths, General Director of Kazakhstan Aviation Administration JSC:

“This is a unique crisis of the kind experienced by the aviation industry. It has never reached such a scale in history. The industry suffers losses of at least $ 35 billion every day! And it is obvious that with the worsening of the situation, the losses will only grow. Thus, we’ll see that the industry will recover slowly. It is unlikely that we can talk about a sharp recovery. And it will all depend on what measures each country will take to combat the virus. According to my estimates, some companies will not work at all for a month and a half. And then we will only observe their slow recovery.”

Peter Griffiths, General Director of Kazakhstan Aviation Administration JSC:

“The prices for aviation fuel in Kazakhstan are always a difficult issue. This market is controlled with good reason. The main thing is to make sure that each airline has enough reserves for flights. This market is still controlled by the state. Until the airlines have provided clear anti-crisis measures, they cannot plan flight schedules with accuracy – that is, as a whole, they don’t yet have a clear picture of what to do next. In such a situation, it’s difficult to talk with the Ministry of Energy about the prices for jet fuel. Possibly, the aviation will begin to recover in 14-15 days; you need to wait for the resumption of flights.”