Airlines to and from Sweden will make a loss of around 30 billion this year. This is a forecast made by the Swedish Transport Association and is now appealing to the government for more targeted support.
”"This is the absolute worst crisis for aviation in peacetime and we see that other countries are taking more resolute measures," says Nils Paul, an economic policy expert.
In April, Swedish air traffic decreased by 98.2 percent. For 2020, the Swedish Transport Companies expect the loss to be minus 61 percent.
Nils Paul, an industry policy expert at the industry organization, hosted a webinar on Monday with representatives from the travel industry where challenges for the Swedish infrastructure were in focus.
”"The transport sector was the first to enter the crisis and we will also be the last to exit. The figures are draconian, there are no commercial conditions to operate traffic today," says Nils Paul.
He compares the corona crisis to previous crises such as the 2001 terrorist attack, the SARS epidemic, the ash cloud crisis and the financial crisis.
”"You could say this crisis is all of that times four. Globally, airline losses are estimated to amount to 314 billion US dollars, which could rival the financial crisis, when losses amounted to about 26 billion dollars."”
And for the Swedish aviation industry, a dark picture is being painted. Transport companies predict that airlines to and from Sweden will make a loss of approximately SEK 30 billion this year, and believe that a recovery is impossible as long as travel restrictions remain in place.
”"We are still in an incredibly difficult situation. Just look at the three largest airlines in Sweden. BRA has entered into corporate restructuring and laid off 600 employees. Norwegian has bankrupted its Swedish subsidiary with over a thousand people laid off and SAS has laid off half of its staff in Sweden."”
Swedish airlines have received 5 billion in government credit guarantees, but it is not enough, according to the Swedish Transport Companies Association.
”"This is only aimed at the airlines, not air traffic control, not airports, so not the entire economic chain. It is difficult to cover fixed costs for airports and staff in a crisis that we do not know the end date. And the charter companies, which have no income at all, are not even covered by the credit guarantees.".
Nils Paul calls for more extensive measures from the government and points to initiatives taken by other countries.
”"We see that other countries are taking more resolute measures that also benefit the airports. I am worried about the long-term damage. Because we know that if travel is to start, we need to have the flights. We are literally in the same boat and we are therefore still interested in a dialogue with the government."”
Source: di.se
