The International Air Transport Association (IATA) has emphasised the imperative of sufficient and efficient airports to match the emerging surge in air passenger traffic globally.

IATA, the clearing house of major airlines worldwide, noted that the upswing in demand is good for the airlines and their home economies, but the gains are unsustainable without commensurate improvement in airport services.

IATA in March 2025 global passenger demand for air travel highlighted that the total demand, measured in revenue passenger kilometres (RPK), was up 3.3 per cent compared to March 2024.

Total capacity, measured in available seat kilometres (ASK), was up 5.3 per cent year-on-year. The March load factor was 80.7 per cent (-1.6 ppt compared to March 2024).

International demand rose 4.9 per cent compared to March 2024. Capacity was up 7.0 per cent year-on-year, and the load factor was 79.9 per cent (-1.7 ppt compared to March 2024).

Domestic demand increased 0.9 per cent compared to March 2024. Capacity was up 2.5 per cent year-on-year. The load factor was 82.0 per cent (-1.3 ppt compared to March 2024).

IATA’s Director-General, Willie Walsh, noted that passenger demand grew by 3.3 per cent year-on-year in March, a slight strengthening from the 2.7 per cent growth reported for February.

A capacity expansion of 5.3 per cent, however, outpaced the demand expansion, leading to a load factor decline from record highs to 80.7 per cent systemwide.

“There remains a lot of speculation around the potential impacts of tariffs and other economic headwinds on travel. While the small decline in demand in North America needs to be watched carefully, March numbers continued to show a global pattern of growth for air travel.

“That means the challenges associated with accommodating more people who need to travel—specifically alleviating supply chain problems and ensuring sufficient airport and air traffic management capacity—remain urgent,” said.

International RPK growth slowed to 4.9 per cent in March year-on-year from the 5.9 per cent reported for February and from the 12.5 per cent reported in January. This slowdown since January reflects in large part the final normalisation of year-on-year demand comparisons post-COVID.

Asia-Pacific was the strongest performer among regions with 9.9 per cent growth. Load factors fell in every region, for a -1.7 ppt overall decline. African airlines saw a 3.3 per cent year-on-year increase in demand. Capacity was up 3.5 per cent year-on-year. The load factor was 70.1 per cent (-0.2 ppt compared to March 2024).

Asia-Pacific airlines reported a 9.9 per cent year-on-year increase in demand. Capacity increased 11.6 per cent year-on-year, and the load factor was 84.1 per cent (-1.3 ppt compared to March 2024).

European carriers had a 4.9 per cent year-on-year increase in demand. Capacity increased 6.9 per cent year-on-year, and the load factor was 78.2 per cent (-1.5 ppt compared to March 2024).

Middle Eastern carriers saw a -1.0 per cent year-on-year decline in demand. Capacity increased 2.8 per cent year-on-year, and the load factor was 74.6 per cent (-2.9 ppt compared to March 2024). The decline in demand is likely related to the timing of Ramadan, which impacts travel patterns.

North American carriers saw a -0.1 per cent year-on-year fall in demand. Capacity increased 2.0 per cent year-on-year, and the load factor was 83.0 per cent (-1.8 ppt compared to March 2024). While demand had a second consecutive month of year-on-year contraction, it is important to note that this is an improvement on the -1.5 per cent decline reported for February.

Latin American airlines saw a 7.7 per cent year-on-year increase in demand. Capacity climbed 12.1 per cent year-on-year. The load factor was 80.9 per cent (-3.3 ppt compared to March 2024).