Middle East crisis, fuel costs to halve airline profits in 2026 — IATA

The International Air Transport Association (IATA) forecasts a substantial decrease in global airline profits for 2026. Industry earnings are expected to be cut in half compared to previous projections. This downturn is primarily attributed to escalating fuel expenses and ongoing geopolitical instability in the Middle East. These factors are creating a challenging operating environment for carriers worldwide.

This projection highlights the significant economic pressures facing the aviation sector, which could lead to higher ticket prices and reduced travel options for consumers.