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Ratings agency ICRA in its latest report has said that India's international air passenger volumes are likely to reach 96-97 per cent of the pre-Covid levels at 329-332 million this fiscal (FY23) with June traffic already at 79 per cent of the levels seen before the outbreak of the pandemic. India's international air passenger traffic resumed from March 27 this year after a hiatus of two years. It also expects international passenger volumes will surge ahead of the FY21 levels (pre-pandemic) by the end of March 2024.

According to the report, while the recovery in domestic passenger traffic declined marginally to 91 per cent of pre-Covid levels in June at 21.1 million as compared to 98 per cent in April and May, respectively, the international air passenger traffic has seen a steady improvement in the last three months, reaching 79 per cent of the pre-Covid levels in June. Overall, the air passenger traffic stood at 88 per cent of pre-Covid levels in June 2022.

The report further said the steep ramp-up in international traffic during the last three months is supported by opening of major international destinations, easing of travel restrictions and increase in aircraft capacity deployment. Overall, it expects international passenger traffic to reach 90-92 per cent of the pre-Covid levels by the end of this fiscal and cross pre-Covid levels in FY24 and added that the recovery of domestic passenger traffic moderated in June 2022 in line with historic trends. It noted that the key reason for lower domestic traffic in June compared to May is due to the end of summer vacation, reopening of schools and consequently reduced leisure travel.