The revenues of airlines globally will plunge by 60% in 2020 due to the coronavirus pandemic, said the International Air Transport Association on Tuesday adding that this year’s revenue, compared with 2019, is now expected at around $328 billion. 

The loss in revenues of airlines will be around $118.5 billion that is much worse than IATA’s June forecast for a loss of $84.3 billion. IATA that groups 290 airlines at its annual congress in Paris said that the losses in 2021 will be nearly $38.7 billion, which is also worse than its previous estimate of $15.8 billion. 

Many economic activities have been marred by the outbreak of coronavirus, as the initial lockdown and continued restrictions in many parts of the world have continued to halt travel, affecting the airline sector. 

“The COVID-19 crisis threatens the survival of the air transport industry,” with 2020 likely to go down in history as its “worst” year ever, IATA said. The association added that airlines, which have been slashing costs by $1 billion a day, grounding fleets and cutting jobs, are racing up huge and “unprecedented” losses. 

“This crisis is devastating and implacable,” IATA director general Alexandre de Juniac said in a statement, adding, “Borders must reopen without quarantine measures so that passengers can take the plane again.”

“The companies will have to continue to draw on their reserves until at least the fourth quarter of 2021,” de Juniac added.

IATA has been pressing governments for months to introduce virus testing before departure to do away with the need for normally 14-day quarantine periods on arrival, saying the change would allow airlines to get back to business without compromising safety.