Rs 20,000 crore: Omicron, costly jet fuel steer airlines to record high loss this fiscal

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NEW DELHI: Airlines in India could make their highest-ever collective loss at over Rs 20,000 crore this fiscal due to twin blows of Covid impact on traffic and steep jet fuel prices, says rating agency Crisil.
It estimates a loss of 44% which is significantly higher than the FY21 loss of Rs 13,853 crore. This would push back industry recovery beyond fiscal 2023, it says.
Domestic air travel had staged smart recovery till early last month when Omicron again dealt a blow to it.
CRISIL Ratings director Nitesh Jain said: “The three large listed airlines have already reported a net loss of Rs 11,323 crore in the first half of fiscal 2022. The sharp jump in domestic air traffic would have cushioned the losses in the third quarter, but the net loss will increase significantly in the fourth quarter as the third wave has brought back travel restrictions and flight cancellations. As a…

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