<p>The collapse of Jet Airways was a reflection of the challenging environment in the country, including high operating costs and a regulatory regime that restricts the ability of airlines to operate as normal commercial businesses, according to the IATA.</p>.<p>The full-service carrier, which flew for nearly 26 years, suspended flights on April 17 last year after running out of cash for its daily operations.</p>.<p>Apart from creating a significant capacity shortage in the country's aviation sector, the grounding of the airline impacted thousands of jobs.</p>.<p>"The collapse of Jet Airways was a reflection of the challenging environment in India – high operating costs, including infrastructure and fuel, a highly competitive domestic airline market, and a regulatory regime that restricts the ability of airlines to operate as normal commercial businesses," Albert Tjoeng, Assistant Director for Corporate Communications (Asia Pacific) at IATA, said.</p>.<p>His comments came in response to queries from PTI related to Jet Airways completing one year of closure.</p>.<p>Jet Airways was a member of the International Air Transport Association (IATA). Currently, it has around 290 airlines as members.</p>.<p>Undergoing the insolvency resolution process at present, a concrete bid is yet to be submitted for Jet Airways even though some entities had expressed interest in the airline.</p>.<p>Shares of Jet Airways have plunged 88 per cent since suspending operations in April last year.</p>.<p>According to Albert Tjoeng, a lot has happened in the last one year.</p>.<p>"Airlines globally are now facing an existential crisis as a result of the COVID-19 outbreak. We are now expecting a revenue loss of USD 314 billion and passenger demand to fall by 48 per cent compared to 2019. Airlines are facing a liquidity crisis, burning USD 61 billion of their cash reserves in Q2 2020," he said. </p>
<p>The collapse of Jet Airways was a reflection of the challenging environment in the country, including high operating costs and a regulatory regime that restricts the ability of airlines to operate as normal commercial businesses, according to the IATA.</p>.<p>The full-service carrier, which flew for nearly 26 years, suspended flights on April 17 last year after running out of cash for its daily operations.</p>.<p>Apart from creating a significant capacity shortage in the country's aviation sector, the grounding of the airline impacted thousands of jobs.</p>.<p>"The collapse of Jet Airways was a reflection of the challenging environment in India – high operating costs, including infrastructure and fuel, a highly competitive domestic airline market, and a regulatory regime that restricts the ability of airlines to operate as normal commercial businesses," Albert Tjoeng, Assistant Director for Corporate Communications (Asia Pacific) at IATA, said.</p>.<p>His comments came in response to queries from PTI related to Jet Airways completing one year of closure.</p>.<p>Jet Airways was a member of the International Air Transport Association (IATA). Currently, it has around 290 airlines as members.</p>.<p>Undergoing the insolvency resolution process at present, a concrete bid is yet to be submitted for Jet Airways even though some entities had expressed interest in the airline.</p>.<p>Shares of Jet Airways have plunged 88 per cent since suspending operations in April last year.</p>.<p>According to Albert Tjoeng, a lot has happened in the last one year.</p>.<p>"Airlines globally are now facing an existential crisis as a result of the COVID-19 outbreak. We are now expecting a revenue loss of USD 314 billion and passenger demand to fall by 48 per cent compared to 2019. Airlines are facing a liquidity crisis, burning USD 61 billion of their cash reserves in Q2 2020," he said. </p>