scholarly journals The Early Impact of Covid-19 Pandemic on the Aviation Industry

2020 ◽  
pp. 38-44
Author(s):  
Dávid Melas ◽  
Katarína Melasová

The goal of the paper is to assess early economics impact of Covid-19 on the aviation industry as it is one of the hardest hit industries. Covid-19 has an unprecedented impact on the international passenger seat capacity and gross passenger operating revenues of airlines. In the first part, we look at the impact of the pandemic on the economy as a whole and subsequently look at the economic cost of airlines. Two main elements are driving this negative trend – travel restrictions and overall economic development. We are currently experiencing the tightest international travel restrictions in the modern era of flight transportation with the economies worldwide experiencing a greater decline in GDP than during the last 3 recessions. In the second part, we look at two out of many possible path scenarios which are likely to drive the trend: V-shaped path and U-shaped path. All pandemic outbreaks before followed V-shaped scenario but Covid-19 has paralysed the society for longer with stricter governmental measures and so U-shaped scenario has to be taken into account as the most likely outcome for the aviation industry during this pandemic.

2020 ◽  
Vol 18 (6) ◽  
pp. 1-36 ◽  

International travel plunges 70% in the first eight months of 2020 International tourist arrivals (overnight visitors) declined 70% in the first eight months of 2020 over the same period of last year, amid global travel restrictions including many borders fully closed, to contain the ongoing COVID-19 pandemic. International arrivals plunged 81% in July and 79% in August, traditionally the two busiest months of the year and the peak of the Northern Hemisphere summer season. Despite such large declines, this represents a relative improvement over the 90% or greater decreases of the previous months, as some destinations started to reopen to international tourism, mostly in the European Union. The decline in January-August 2020 represents 700 million fewer international tourist arrivals compared to the same period in 2019, and translates into a loss of US$ 730 billion in export revenues from international tourism, more than 8 times the loss in 2009 under the impact of the global economic crisis. Asia and the Pacific, the first region to suffer the impact of the pandemic, saw a 79% decrease in arrivals in January-August 2020. Africa and the Middle East both recorded a 69% drop this eight-month period, while Europe saw a 68% decline and the Americas 65%. Data on international tourism expenditure continues to reflect very weak demand for outbound travel, though in several large markets such as the United States, Germany and Italy there is a small uptick in spending in the months of July and August. Based on latest trends, a 75% decrease in international arrivals is estimated for the month of September and a drop of close to 70% for the whole of 2020. While demand for international travel remains subdued, domestic tourism is strengthening recovery in several large markets such as China and Russia. The UNWTO Confidence Index continues at record lows. Most UNWTO Panel Experts expect a rebound in international tourism by the third quarter of 2021 and a return to pre-pandemic 2019 levels not before 2023. Experts consider travel restrictions as the main barrier weighing on the recovery of international tourism, along with slow virus containment and low consumer confidence.


International tourism expected to decline over 70% in 2020, back to levels of 30 years ago International tourist arrivals (overnight visitors) fell by 72% in January-October 2020 over the same period last year, curbed by slow virus containment, low traveller confidence and important restrictions on travel still in place, due to the COVID-19 pandemic. The decline in the first ten months of the year represents 900 million fewer international tourist arrivals compared to the same period in 2019, and translates into a loss of US$ 935 billion in export revenues from international tourism, more than 10 times the loss in 2009 under the impact of the global economic crisis. Asia and the Pacific saw an 82% decrease in arrivals in January-October 2020. The Middle East recorded a 73% decline, while Africa saw a 69% drop this ten-month period. International arrivals in both Europe and the Americas declined by 68%. Data on international tourism expenditure continues to reflect very weak demand for outbound travel. However, some large markets such as the United States, Germany and France have shown some shy signs of recovery in the recent months. While demand for international travel remains subdued, domestic tourism continues to grow in several large markets such as China and Russia, where domestic air travel demand has mostly returned to pre-COVID levels. Based on current trends, UNWTO expects international arrivals to decline by 70% to 75% for the whole of 2020. This would mean that international tourism could have returned to levels of 30 years ago. The estimated decline in internationals tourism in 2020 is equivalent to a loss of about 1 billion arrivals and US$ 1.1 trillion in international tourism receipts. This plunge in international tourism could result in an estimated economic loss of over US$ 2 trillion in global GDP, more than 2% of the world’s GDP in 2019. Looking ahead, the announcement and the roll-out of a vaccine are expected to gradually increase consumer confidence and contribute to ease travel restrictions. UNWTO’s extended scenarios for 2021-2024 point to a rebound in international tourism by the second half of 2021. Nonetheless, a return to 2019 levels in terms of international arrivals could take 2½ to 4 years.


2020 ◽  
Vol 117 (13) ◽  
pp. 7504-7509 ◽  
Author(s):  
Chad R. Wells ◽  
Pratha Sah ◽  
Seyed M. Moghadas ◽  
Abhishek Pandey ◽  
Affan Shoukat ◽  
...  

The novel coronavirus outbreak (COVID-19) in mainland China has rapidly spread across the globe. Within 2 mo since the outbreak was first reported on December 31, 2019, a total of 566 Severe Acute Respiratory Syndrome (SARS CoV-2) cases have been confirmed in 26 other countries. Travel restrictions and border control measures have been enforced in China and other countries to limit the spread of the outbreak. We estimate the impact of these control measures and investigate the role of the airport travel network on the global spread of the COVID-19 outbreak. Our results show that the daily risk of exporting at least a single SARS CoV-2 case from mainland China via international travel exceeded 95% on January 13, 2020. We found that 779 cases (95% CI: 632 to 967) would have been exported by February 15, 2020 without any border or travel restrictions and that the travel lockdowns enforced by the Chinese government averted 70.5% (95% CI: 68.8 to 72.0%) of these cases. In addition, during the first three and a half weeks of implementation, the travel restrictions decreased the daily rate of exportation by 81.3% (95% CI: 80.5 to 82.1%), on average. At this early stage of the epidemic, reduction in the rate of exportation could delay the importation of cases into cities unaffected by the COVID-19 outbreak, buying time to coordinate an appropriate public health response.


2021 ◽  
Author(s):  
Yong Ge ◽  
Wenbin Zhang ◽  
Haiyan Liu ◽  
Corrine W Ruktanonchai ◽  
Maogui Hu ◽  
...  

Abstract Worldwide governments have rapidly deployed non-pharmaceutical interventions (NPIs) to mitigate the COVID-19 pandemic, together with the large-scale rollout of vaccines since late 2020. However, the effect of these individual NPI and vaccination measures across space and time has not been sufficiently explored. By the decay ratio in the suppression of COVID-19 infections, we investigated the performance of different NPIs across waves in 133 countries, and their integration with vaccine rollouts in 63 countries as of 25 March 2021. The most effective NPIs were gathering restrictions (contributing 27.83% in the infection rate reductions), facial coverings (16.79%) and school closures (10.08%) in the first wave, and changed to facial coverings (30.04%), gathering restrictions (17.51%) and international travel restrictions (9.22%) in the second wave. The impact of NPIs had obvious spatiotemporal variations across countries by waves before vaccine rollouts, with facial coverings being one of the most effective measures consistently. Vaccinations had gradually contributed to the suppression of COVID-19 transmission, from 0.71% and 0.86% within 15 days and 30 days since Day 12 after vaccination, to 1.23% as of 25 March 2021, while NPIs still dominated the pandemic mitigation. Our findings have important implications for continued tailoring of integrated NPI or NPI-vaccination strategies against future COVID-19 waves or similar infectious diseases.


Author(s):  
Vasiliy Svistunov ◽  
Vitaliy Lobachyev ◽  
I. Golyshkova

The article examines the problems of the labor market from the perspective of employment, the impact on these processes of such global trends in modern economic development as digitalization and globalization. Attention is drawn to the negative trend of employment of a large number of graduates of domestic universities not in their specialty. Special emphasis is placed on the need for the education system to take into account the professional qualification requirements for specialists in the process of their training and retraining.


Author(s):  
Matteo Chinazzi ◽  
Jessica T. Davis ◽  
Marco Ajelli ◽  
Corrado Gioannini ◽  
Maria Litvinova ◽  
...  

AbstractMotivated by the rapid spread of a novel coronavirus (2019-nCoV) in Mainland China, we use a global metapopulation disease transmission model to project the impact of both domestic and international travel limitations on the national and international spread of the epidemic. The model is calibrated on the evidence of internationally imported cases before the implementation of the travel quarantine of Wuhan. By assuming a generation time of 7.5 days, the reproduction number is estimated to be 2.4 [90% CI 2.2-2.6]. The median estimate for number of cases before the travel ban implementation on January 23, 2020 is 58,956 [90% CI 40,759 - 87,471] in Wuhan and 3,491 [90% CI 1,924 - 7,360] in other locations in Mainland China. The model shows that as of January 23, most Chinese cities had already received a considerable number of infected cases, and the travel quarantine delays the overall epidemic progression by only 3 to 5 days. The travel quarantine has a more marked effect at the international scale, where we estimate the number of case importations to be reduced by 80% until the end of February. Modeling results also indicate that sustained 90% travel restrictions to and from Mainland China only modestly affect the epidemic trajectory unless combined with a 50% or higher reduction of transmission in the community.


2021 ◽  
Vol 10(1) (10(1)) ◽  
pp. 302-317
Author(s):  
Maisa Adinolfi ◽  
Vyasha Harilal ◽  
Julia Giddy

As the world came to a relative standstill during the initial stages of the outbreak of the COVID-19 pandemic, with nearly all countries having enforced some kind of COVID-19 regulations, the global tourism economy was one of the hardest hit. Travel bans and border closures resulted in many tourism businesses having to enter business rescue or shut down indefinitely. This new economic climate forced the tourism economy to imagine a new reality and to consider a negotiation of its revival in a post-pandemic world. Coupled with the impact on tourism itself, the pandemic resulted in a subsequent economic crisis, which unarguably, impacted upon travel, particularly leisure tourism. The South African tourism sector is no exception and will need to explore several avenues in addressing this new status quo. With domestic tourism being a weighty component of many countries’ tourism economies, it serves as an important building block for the resurgence of the industry. This is especially the case in a time when uncertainties are particularly prevalent for the re-emergence of international travel. Therefore, domestic tourism in South Africa has been a key starting point as travel restrictions have slowly started to lift, a context, which has been highlighted in current debates amongst South African tourism stakeholders. This paper explores the potential opportunities for opening up tourism to cash-strapped South Africans by specifically addressing their savings and travel cultures and prospects for future travel. The paper presents a desktop review of the recent introduction of savings and payment schemes available to travellers in South Africa, with particular focus on travel stokvels, leisure on lay-by and pay at your pace options.


2021 ◽  
Vol 1 (1) ◽  
pp. 8-19
Author(s):  
Dipendra Bahadur Singh ◽  
Deepak Kumar Sah

Nepal being a landlocked country is completely dependent on the roadways and airways for means of transportation however, the railway has not been started in Nepal to date. Transportation is interlinked with mobility and due to lockdown every sector related to mobility has been affected. Consequently, the aviation sector has been worst hit as airlines were prohibited to operate. The aviation industry of Nepal has foreseen significant decadence in the mobility of passengers and cargo (international and domestic) which has affected revenue generation. Similarly, the imposed lockdown has influenced the ongoing nation's pride and the long-term investment projects which have been considered as a milestone in the infrastructural development of Nepal and those projects need to be reprogrammed and reprioritized. Moreover, the sharp decrease in import of petroleum products has decreased the revenue paid to the Indian Oil Corporation (IOC) which will help to reduce trade loss. The lockdown induced due to COVID-19 has also affected the agricultural sector as the supply chain has been disrupted due to travel restrictions. The overall Gross Domestic Product (GDP) that the transport and its inter-linked sector contribute has been reduced during lockdown than the preceding years. Identifying the paucity of research in the transportation sector of Nepal this paper is focused on the comprehensive study of the impact of the COVID-19 transportation sector along with its inter-connected areas.


2020 ◽  
Vol 18 (7) ◽  
pp. 1-36

International tourism expected to decline over 70% in 2020, back to levels of 30 years ago International tourist arrivals (overnight visitors) fell by 72% in January-October 2020 over the same period last year, curbed by slow virus containment, low traveller confidence and important restrictions on travel still in place, due to the COVID-19 pandemic. The decline in the first ten months of the year represents 900 million fewer international tourist arrivals compared to the same period in 2019, and translates into a loss of US$ 935 billion in export revenues from international tourism, more than 10 times the loss in 2009 under the impact of the global economic crisis. Asia and the Pacific saw an 82% decrease in arrivals in January-October 2020. The Middle East recorded a 73% decline, while Africa saw a 69% drop this ten-month period. International arrivals in both Europe and the Americas declined by 68%. Data on international tourism expenditure continues to reflect very weak demand for outbound travel. However, some large markets such as the United States, Germany and France have shown some shy signs of recovery in the recent months. While demand for international travel remains subdued, domestic tourism continues to grow in several large markets such as China and Russia, where domestic air travel demand has mostly returned to pre-COVID levels. Based on current trends, UNWTO expects international arrivals to decline by 70% to 75% for the whole of 2020. This would mean that international tourism could have returned to levels of 30 years ago. The estimated decline in internationals tourism in 2020 is equivalent to a loss of about 1 billion arrivals and US$ 1.1 trillion in international tourism receipts. This plunge in international tourism could result in an estimated economic loss of over US$ 2 trillion in global GDP, more than 2% of the world’s GDP in 2019. Looking ahead, the announcement and the roll-out of a vaccine are expected to gradually increase consumer confidence and contribute to ease travel restrictions. UNWTO’s extended scenarios for 2021-2024 point to a rebound in international tourism by the second half of 2021. Nonetheless, a return to 2019 levels in terms of international arrivals could take 2½ to 4 years.


Author(s):  
DI Papadopoulos ◽  
I Donkov ◽  
K Charitopoulos ◽  
S Bishara

AbstractObjectiveWe aimed to determine which aspects of the COVID-19 national response are independent predictors of COVID-19 mortality and case numbers.DesignComparative observational study between nations using publicly available data.SettingWorldwide Participants Covid-19 patientsInterventionsStringency of 11 lockdown policies recorded by the Blavatnik School of Government database and earliness of each policy relative to first recorded national casesMain outcome measuresAssociation with log10 National deaths (LogD) and log10 National cases (LogC) on the 29th April 2020 corrected for predictive demographic variablesResultsEarly introduction was associated with reduced mortality (n=137) and case numbers (n=150) for every policy aside from testing policy, contact tracing and workplace closure. Maximum policy stringency was only found to be associated with reduced mortality (p=0·003) or case numbers (p=0·010) for international travel restrictions. A multivariate model, generated using demographic parameters (r2=0·72 for LogD and r2=0·74 for LogC), was used to assess the timing of each policy. Early introduction of first measure (significance p=0·048, regression coefficient β=-0·004, 95% confidence interval 0 to -0·008), early international travel restrictions (p=0·042, β=-0·005, -0·001 to - 0·009) and early public information (p=0·021, β=-0·005, -0·001 to -0·009) were associated with reduced LogC. Early introduction of first measure (p=0·003, β=-0·007, -0·003 to -0·011), early international travel restrictions (p=0·003, β=-0·008, -0·004 to-0·012), early public information (p=0·003, β=-0·007, 0·003 to -0·011), early generalised workplace closure (p=0·031, β=-0·012, -0·002 to -0·022) and early generalised school closure (p=0·050, β=-0·012, 0 to -0·024) were associated with reduced LogC.ConclusionsAt this stage in the pandemic, early institution of public information, international travel restrictions, and workplace closure are associated with reduced COVID-19 mortality and maintaining these policies may help control the pandemic.What is already known on this topicThe COVID-19 pandemic has spread rapidly throughout the world and presented vast healthcare, economic and political challenges. Many nations have recently passed the peak of their infection rate, and are weighing up relaxation of lockdown strategies. Though the effect of individual lockdown policies can be estimated by modelling, little is known about the impact of individual policies on population case numbers or mortality through comparison of differing strategies between nations. A PubMed search was carried out on the 14/5/20 using keywords including “novel coronavirus-infected pneumonia”, “2019-nCoV”, “Sars-Cov-2”, “Covid-19”, “lockdown”,” policy”, “social distancing”, “isolation”, “quarantine” and “contact tracing” returned 258 studies in total. Following scanning of the above results, we found 19 studies that have examined the effect of lockdown within a region, which have demonstrated a reduction in case numbers after the introduction of a lockdown. There are no previous studies that have compared the effectiveness of government lockdowns between nations to determine the effectiveness of specific policies.What this study addsThis study examines the corollary between government policy and COVID-19 case numbers and mortality, correct as of the 29th of April 2020, for every nation that there is available date within the Blavatnik School of Government database on COVID-19 policy. The study demonstrates that early generalised school closure, early generalised workplace closure, early restriction of international travel and early public information campaigns are independently associated with reduced national COVID-19 mortality. The maximum stringency of individual lockdown policies were not associated with reduced case numbers or mortality. Early reintroduction of these policies may be most effective in a relapse of the pandemic, though, school closure, workplace closure and restriction of international travel carry heavy politico-economic implications. There was no measurable effect of maximum stringency of lockdown policy on outcome at this point in time, indicating that early timing of lockdown introduction is of greater importance than its stringency, provided that the resultant viral reproductive rate is less than 1.


Sign in / Sign up

Export Citation Format

Share Document