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Air passengers up but growth slowing and Brics weak, says Iata

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International air passenger numbers were up 3.7% in the first six months of this year compared with 2013, despite growth slowing to 2.4% year on year in June.

However, airline association IATA noted the slowdown “has been developing for months”.

Iata reported passenger numbers rose just 0.7% between December and June this year.

And it was traditional markets – the North Atlantic, Pacific and Europe-Far East – that showed the strongest growth.

Separately, UK air traffic management service Nats reported the UK air market grew 2.4% year on year in July.

Iata described emerging markets as “generally weak” and said: “Some are getting weaker.”

Nonetheless, Iata suggested: “Business confidence has been rising in recent months, pointing to a stronger second half for travel.”

It noted: “Premium travel expanded at a slightly faster rate than economy travel, at 3.9% compared with 3.7% [in the first half].”

Iata added: “Major areas of weakness are concentrated on markets connected to a number of key emerging economies.

“The Brazilian economy has been weak and is getting weaker. The economic crises in Argentina and Venezuela are not helping.

“Russia is virtually in recession . . . the Indian economy has been weak . . . The Chinese economy has been managed on to a slower growth path. . . African markets are also notably weak.”

By contrast, Iata said: “The North Atlantic expanded by over 4% in the first half of the year. Europe-Far East was up over 5%.”

The Iata figures come from the association’s June Premium Traffic Monitor, which notes: “The share of premium revenues is almost 50% across the Atlantic.”

Nats reported the highest growth in the transatlantic market to and from the UK, up 6% year on year.

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