Flight Demand in Brazil Continues to Plummet; Some Destinations May Be Cancelled
RIO DE JANEIRO, BRAZIL – The demand for flights in Brazil continues to plummet due to the coronavirus, according to data from the Brazilian Airlines Association (ABEAR). This week, the association’s members recorded a 75 percent drop in demand for domestic flights and a 95 percent cut in the international market compared to the same period in 2019.
“In fact, we expect a reduction of 100 percent (in demand) is possible for a number of destinations. We will have to take the required actions to deal with this fact. And the companies are assessing this virtually every hour,” said Eduardo Sanovicz, president of ABEAR.
The drop in demand is due to the population’s growing concern about the virus and the fact that “there is no more travel for tourism, events or business. The overwhelming majority of people who are flying are returning home or are the health teams,” he said.
Currently some aircraft are taking off with some 20 passengers, compared to an average capacity of 176 seats. “I heard from a colleague who recently flew with 12 people,” he said. “Tens of millions of reais are being lost every day,” he said.
According to Sanovicz, the sector is now negotiating credit lines promised by the government with public banks.
“We expect to announce the credit line soon. Individual companies are now talking to BNDES (National Bank for Economic and Social Development). I have not heard that anyone has closed the deal, but they are discussing it,” he said. The sector is still waiting for a new package with tax measures.
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Live Market IntelligenceBrazil — Live Market Board
Rio Times · Live Market Intelligence
Brazil — Live Market Board
-0.82%
166,191.45
-0.82%
71,033.20
+0.30%
10,465.26
-1.52%
2,848,945
—
2,484.43
-0.88%
| Instrument | Last | Change | YoY | Prev. | High | Low | Volume |
|---|---|---|---|---|---|---|---|
| IBOV | 166,191.45 | -0.82% | +8.41% | 167,563.47 | 168,994 | 166,190 | — |
| USD/BRL | 5.49 | +0.51% | +2.40% | 5.46 | 5.49 | 5.49 | — |
| SELIC | 13.75% | — | — | — | — | — | |
| PETR4 | 45.95 | -2.48% | +48.95% | 47.12 | 48.04 | 45.95 | 53,129,700 |
| VALE3 | 62.67 | +0.51% | -4.66% | 62.35 | 63.16 | 62.15 | 23,558,700 |
| ITUB4 | 39.97 | +0.65% | +2.59% | 39.71 | 40.17 | 39.33 | 32,695,300 |
| BBDC4 | 13.77 | -2.06% | -26.72% | 14.06 | 14.15 | 13.73 | 74,922,100 |
| BBAS3 | 16.49 | +0.00% | -27.07% | 16.49 | 16.71 | 16.34 | 33,652,800 |
| B3SA3 | 14.36 | +0.42% | +8.79% | 14.30 | 14.44 | 14.04 | 31,827,900 |
| ABEV3 | 15.48 | +1.51% | +17.45% | 15.25 | 15.49 | 15.13 | 55,478,500 |
| WEGE3 | 48.30 | -3.50% | +11.01% | 50.05 | 49.93 | 47.65 | 15,543,300 |
| PRIO3 | 61.54 | -0.97% | +62.76% | 62.14 | 64.44 | 61.54 | 14,097,000 |
| SUZB3 | 52.29 | -0.11% | +6.93% | 52.35 | 52.47 | 51.15 | 9,554,500 |
| RENT3 | 29.07 | -1.32% | -30.07% | 29.46 | 29.71 | 28.91 | 13,661,700 |
| AZZA3 | 14.06 | +0.64% | -51.65% | 13.97 | 14.62 | 13.92 | 3,237,100 |
| CSNA3 | 4.05 | -0.74% | -53.50% | 4.08 | 4.29 | 4.01 | 22,025,500 |
| GGBR4 | 23.99 | -3.58% | +25.67% | 24.88 | 25.14 | 23.75 | 19,901,600 |
| ENEV3 | 26.32 | +0.19% | +39.26% | 26.27 | 26.76 | 26.01 | 12,224,700 |
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief
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