Fitch: EMEA airlines’ traffic recovers, price and volume growth still at risk

A recovery in EMEA airline revenue has been supported by increased leisure traffic and strong airline pricing power, Fitch Ratings says. These near-term expectations incorporate a moderate pace of recovery, tempered by the cost of living crisis and operational issues. EMEA air travel, measured in revenue-passenger-kilometre (RPK), has been increasing in 2023. European RPK in June was only 5.5% below the pre-pandemic level of June 2019 and 11.7% above June 2022, according to the International Air Transport Association (IATA). The recovery has accelerated from 1Q23 (when RPK was 12.2% below its 1Q19 level). IATA forecasts that European air passengers this