High Airfares to Persist as Travel Booms, New AirAsia Boss Says

There’s no end in sight to the high airfares that are a mainstay of the world’s post-pandemic travel boom, according to Asia’s biggest low-cost carrier.

Travelers may see a little reprieve next year as jet fuel prices decline and the airline’s flight capacity rises, said AirAsia Aviation Chief Executive Officer <-bsp-person state="{"_id":"00000190-4790-d497-a7fb-ef9d87880000","_type":"00000160-6f41-dae1-adf0-6ff519590003"}">Bo Lingam, who will <-bsp-bb-link state="{"bbDocId":"SCJ12ZT0AFB4","_id":"00000190-4790-d497-a7fb-ef9d87880001","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">head a new listed entity called AirAsia Group following a <-bsp-bb-link state="{"bbDocId":"SCHM5WT0AFB4","_id":"00000190-4790-d497-a7fb-ef9d87880002","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">merger between the company’s short and long haul operations in September. But strong demand means airfares are unlikely to return to pre-pandemic levels any time soon, he said.

Bo Lingam

Photographer: KG Krishnan/Bloomberg

“My load factor is around 90% ...