The pent-up travel demand has been buoying the airline industry’s recovery from the damage caused by the pandemic restrictions. Jamie Baker, the senior airline analyst at JPMorgan, predicts business travel demand to ramp up this fall, which could boost revenues for airline companies. Furthermore, the domestic aviation market is projected to grow at a CAGR of 3.2% to $1.13 trillion by 2027.
However, the airline sector is currently struggling with macroeconomic and geopolitical headwinds. High inflation, surging fuel costs, and staffing issues are troubling the industry.
