The International Air Transport Association (IATA) has revised its recovery forecast for the aviation industry in Hong Kong, now saying that the major hub would see a faster recovery aligned with expectations for a faster recovery in the Asia-Pacific region.
IATA made the comment as it welcomed the Hong Kong Special Administrative Region (SAR) government's efforts to ease the city's labour crunch in the aviation sector.
IATA noted that this comes as IATA upgraded passenger traffic projections for Hong Kong, which now see a recovery to pre-crisis levels by the end of 2024.
"This revision brings Hong Kong's recovery in line with expectations for a faster recovery in the Asia-Pacific region," the announcement said.
Willie Walsh, IATA's Director General, signalled rosy prospects for the Hong Kong aviation sector following earlier comments that the financial hub could see delayed recovery due to Covid-related restrictions in the city.
"The situation is looking bright for Hong Kong. China's earlier-than-expected reopening is providing a much-needed boost to passenger recovery. By the end of 2024, we expect to see Hong Kong's traffic return to pre-crisis levels," Walsh said.
"And it is encouraging to see the Hong Kong government preparing for this with measures to ensure that the workers needed to support the recovery are available," he added.
The Hong Kong government recently introduced a labour importation scheme to ramp up the airport workforce by 6,300 workers from the Mainland of China.
IATA noted that while demand for air travel has been strong, airlines in Hong Kong have been struggling with supply chain issues and a labour shortage.
"The last three years have been devastating for the aviation sector. As we look ahead to the recovery and prepare for future growth, it is important that the entire Hong Kong aviation community, including airlines, airports, regulators, and government, work together to address the challenges and are well prepared to tap into future opportunities," Walsh said.
"I look forward to being in Hong Kong in August to meet with various partners and engage in fruitful discussions," the IATA chief said.
IATA and the Airport Authority Hong Kong (AAHK) are partnering to organize Hong Kong Aviation Day from August 2-3, 2023.
Hong Kong welcomes more positive forecast from IATA
Meanwhile, the Airport Authority Hong Kong (AAHK) welcomed IATA's latest projection on the air cargo recovery in Hong Kong by the end of 2024.
"We have been communicating closely with IATA and global stakeholders about the latest developments in Hong Kong. We are delighted that IATA revised its projection to express an optimistic outlook after the Government announced the new scheme that allows importation of labour to support the aviation industry," said Vivian Cheung, chief operating officer of AAHK.
Previously IATA projected that Hong Kong is expected to surpass the pre-pandemic air passenger levels by 2027.
AAHK said passenger traffic at Hong Kong International Airport has been rising since the relaxation of travel restrictions.
Currently, the airport is handling over 120,000 passengers a day, representing about 60% of the pre-pandemic level.
