Jet fuel price volatility is hitting airlines unevenly across global markets as weakening local currencies deepen cost pressures, according to new insights from the International Air Transport Association.
According to a statement issued by the body, “The first chart of the week, a decade ago, showed that jet fuel price declines had uneven impacts across economies due to fluctuations in local currencies against the US dollar.”
The situation has worsened over the past four years, with jet fuel prices swinging dramatically. The report noted that “jet fuel price volatility in USD has intensified, especially since 2020, driven by the pandemic-induced demand collapse, the post-pandemic recovery amid supply chain disruptions, and escalating geopolitical tensions.”
Countries whose currencies have weakened are now paying significantly more for fuel. The statement highlighted that “The most pronounced impacts are observed in Russia and Brazil, whose currencies have depreciated the most against the dollar since 2014.” Russia’s ruble has slid following the invasion of Ukraine and subsequent international sanctions, while “the Brazilian real has also suffered recently as expectations are high that the central bank will loosen monetary policy in spite of persistent fiscal woes and the detrimental effect of tariffs on the country’s external accounts.”
Even major economies have felt the pressure. “Although less pronounced than in Russia and Brazil, the EU, China, and India have all seen their currencies weaken against the US dollar since mid-2022,” the analysis stated. However, it also pointed out that “the dollar has lost around 10 per cent of its value this year against many currencies. The countries lucky enough to find themselves in the latter group have seen their fuel bills cheapen in local currency terms.”
Jet fuel remains one of the largest cost components in aviation. As emphasised by the statement, “Fuel costs make up close to 26 per cent of total operating expenses of airlines, alternating with labour as the largest cost category.” Additionally, “Approximately 55–60 per cent of all global airline costs are denominated in USD, compared to 50–55 per cent of revenues.”
This imbalance has direct consequences for profitability. The report explained that “Based on this, a one per cent appreciation of the USD against global currencies could reduce operating margins by about 0.1 percentage points, while a one per cent depreciation could improve margins by a similar amount.”
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wickedness...,only God will be the judge of this
ReplyDeleteThe law should take its full course. This is one of many cases of this man's inhumanity to man.The problem is that when some of these young girls who know next to nothing marry these money bags they turn themselves into gods.In actuality they are no more than sex machines and baby factories.The husband too has no brain for he has sold it to money. How can they do this to another man's child? Their children will turn out uselss cos they cannot take the life of another and expect theirs to become useful. Their children will become a torn in their flesh.The couple's action has broughta cause on their family.God will always punish the wicked.
ReplyDelete@ IK Adimora
ReplyDeleteI am a woman but I must admit that you are right. This is a woman who never knew that she would get to the stage of having somebody else work for her. It got into her head and she let herself go.
It is sad. To what extent did he misbehave that he was punished to death? God help us!
They shall be no peace for the wicked, murderer, are u God that gave him life? God is watching u and u will never escape from his judgment.
ReplyDeleteThe Bible has said that "the heart of a man is desperately wicked, who can know it?" We should all know that the fact dt someone is disadvataged in taking care of his/her child which makes such a child a house help to you does not mean the child should be maltreated, it could happen to anyone. The lady lacks d fear of God, what if she saw someone maltreating her own child dt way or what if d boy's mother saw what she was doing to the boy? Well, she has dictated the tune and now has to dance to the music.
ReplyDeletePlease,We need to see the pictures of this killer couples.This is important so that people will be on their guard and not make the mistake of allowing their children or wards to be with the couple in future if they should be left of the hook (I doubt).We know that in Nigeria they can relocate and go to another town and convince other people to release their children to them.
ReplyDeleteThis is total wickedness. The woman is just being immature.
ReplyDeleteMy regrets will be that the couple will bribe their way out of the court with the court discharging them for ''lack of credible evidence''. Igbo women are mostly worse than Jezebel. I have lived with them and seen how much they can torture their husband's apprentices and househelps especially the semi-illiterate ones that are fortunate to be brought to town from their village squalors. Let the full wrath of the law be metted to her and her foolish husband to serve as detterent to others. Let me also urge neighbours to always report maltreatments to the police before it goes this far. We must be our brother's keeper.
ReplyDeleteIncredible! This is evil in it's full force.Hw could such a young woman of 26 perpetuate evil of this magnitude? In my opinion, I think she never thought she could ever become Oga's wife.Pls,Igbos in Lagos be ur brother's keeper; the world is watching us!
ReplyDeletemay God purnish those devils.
ReplyDeletethis is a lesson for all those women who collect househelp nd servants and treat them badly.....
ReplyDeleteI tink that THE GOLDEN RULE applies to all humans.....if someone were to beat her child to a state of unconsciousness, will she take it lightly,let alone killing the child???? its good to be good cos no one knws tmoro......see nw, she has cut d life of dat boy short becos of WICKEDNESS......my God help her....