Governments have been urged to step up to support airlines through to next summer in the face of the “unrelenting” Covid-19 crisis.
A number of unspecified market stimulation options have been identified by trade body Iata.
One was reported to involve governments buying tickets in bulk and giving them away in a lottery.
However, the UK announcement last month of a relaxation of quarantine restrictions with a ‘test and release’ policy saw a doubling in bookings between the UK and US albeit from a low base.
New of vaccines to combat the virus saw a rise in flight searches but not enough to transform travel intentions, according to Iata data.
Forward bookings are still “exceptionally weak” with the Christmas and new year peak season within Europe down 80%.
Iata director general and chief executive Alexandre de Juniac said: “This crisis is unrelenting. Our latest economic outlook is for airlines to lose $118.5 billion this year, or $66 for every passenger carried.
“Assuming borders re-open by mid-2021, the industry will ‘only’ lose $38.7 billion in 2021.
“Now is the time for governments to step up. The $173 billion of support provided to date has enabled the industry to survive, but more is required to carry the industry through to next summer.
“Iata has identified a range of market stimulation options that will support the viability of air routes while encouraging people to travel.
“Without aviation’s $3.5 trillion contribution to global GDP, there can be no broader economic recovery,” he warned.
The comments came as Iata reported a “disappointingly slow” recovery of passenger demand in October, down 70.6% year-on-year.
Europe was the only region to see a deterioration in traffic. Capacity contracted 70.4% and load factor fell by 36.7 percentage points to 49.5%.
“Fresh outbreaks of Covid-19 and governments’ continued reliance on heavy-handed quarantines resulted in another catastrophic month for air travel demand,” de Juniac added.
“While the pace of recovery is faster in some regions than others, the overall picture for international travel is grim.
“This uneven recovery is more pronounced in domestic markets, with China’s domestic market having nearly recovered, while most others remain deeply depressed.”
Meanwhile, Liverpool John Lennon aiport reported that festive season passenger numbers are likely to be around 90% lower than last year despite flights by easyJet, Ryanair, Wizz Air, Loganair and Blue Air resuming to a network of 34 destinations.