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IATA economist warns airlines face worsening pressure from high fuel costs and weaker purchasing power

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IATA chief economist Marie Owens Thomsen says airline conditions could deteriorate if fuel prices remain elevated while consumers’ purchasing power declines. Carriers with stronger balance sheets are better positioned to withstand the pressure, but airlines have limited ability to offset higher costs by raising ticket prices.

Discovered 2026-10-19T08:05:31.360015-07:00 | 2026-10-19T08:05:31.360015-07:00

Briefing

What Hype is tracking

  • Persistent fuel-cost pressure combined with weaker consumer purchasing power could squeeze airline finances from both sides.
  • Stronger balance sheets offer resilience, but limited scope for fare increases constrains carriers’ ability to pass costs on to passengers.

Reported By

FlightGlobal
Sources Tracked
1
First Seen
2026-10-19T08:05:31.360015-07:00
Latest Update
2026-10-19T08:05:31.360015-07:00
Coverage
Aviation

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