Over 800,000 jobs in airline industry at risk in MENA region

istock/Marcus Millo

The International Air Traffic Association is urging governments to provide state aid to their airlines.

Globally, airlines are facing a liquidity crisis and hundreds of thousands of jobs are at risk because of the coronavirus outbreak.

IATA Middle East Vice President Muhammad Ali Albakri says that even the most drastic cost cuts were being outstripped by falling revenue.

He said more than 800,000 jobs were directly at risk across 10 Middle East and North Africa countries including the United Arab Emirates, Saudi Arabia and Morocco.

The epidemic, which has killed more than 8,000 globally, has seen many airlines warn they may not survive the crisis.

IATA estimates the epidemic has cost Middle East airlines $7.2 billion in revenue as of March 11 with 16,000 flights cancelled since January.
 
The industry body is proposing direct state financial support, loans and loan guarantees and tax relief.

More from Business News

  • India, EU finalise landmark trade deal, PM Modi says

    India and the European Union have finalised a landmark trade deal that will represent a quarter of the world's economy, Indian Prime Minister Narendra Modi said on Tuesday, as the two sides seek to hedge against strained ties with the US.

  • H.H. Sheikh Mohammed emphasises UAE's role as global hub for trade

    His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, has visited the 31st edition of Gulfood, the world’s leading food and beverage sourcing event, marking the largest edition in its history.

  • Ajman to set up rental dispute resolution centre

    A new Rental Dispute Resolution Centre will be established in Ajman to streamline the handling of landlord-tenant disputes and strengthen stability in the real estate sector.

  • H.H. Sheikh Hamdan witnesses expansion agreement for Hewi Dubai

    H.H. Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, Deputy Prime Minister, Minister of Defence, and Chairman of The Executive Council of Dubai, witnessed the signing of a partnership agreement between Dubai Municipality, the General Construction Company and Binghatti, to develop Hewi Al Barsha and Hewi Muhaisnah.

Blogs