Fitch: Uneven APAC travel recovery challenges aircraft lessors

Uneven and slow recoveries in air traffic in the Asia-Pacific (APAC) region will continue to challenge aircraft lessors, says Fitch Ratings. The rating agency expects APAC air traffic will continue to recover in 2022, but does not expect it to reach pre-pandemic levels until 2024, lagging other regions. APAC was a relative bright spot earlier in the Covid-19 pandemic, with travel resumptions outpacing other regions. Global aircraft lessors’ increased focus on the region (total market value exposure of around 38% among Fitch-rated lessors) makes the more recent reversal of this trend detrimental. That said, Fitch does not envision near-term rating