Fitch Ratings: Sustained recovery in Chinese aviation aftermarket might benefit lessors

The recent relaxing of pandemic restrictions in China might prove beneficial to Chinese and regional lessors as most of them have large exposure to Chinese airlines that have suffered significant financial losses during the pandemic, according to Fitch Ratings. The rating agency’s report further adds that most Chinese lessors’ funding and liquidity positions will continue to be underpinned by shareholder support and a gradual recovery in China’s air traffic will drive asset-quality metrics and business growth for local aircraft leasing businesses. Graph above shows % change in revenue passenger-kilometre vs. same month in 2019 However, the report also throws light