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March 2, 2024
The challenges airlines face in Latin America

Photo: Daniel Martínez Garbuno

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Airlines in Latin America are often in one of the riskiest markets in the region. They face many challenges, from currency volatility to government uncertainty (see, for example, Peru’s recent failed coup d’etat). Additionally, regional authorities often see airlines in the region as, in the words of the IATA, a golden goose.

Strong recovery, but challenges remain

Across the region, most of the largest Latin American markets have recovered their pre-pandemic traffic levels. Some are already well above those numbers, like Mexico, Colombia, and the Dominican Republic. The region achieved an outstanding passenger recovery in 2022, but complex challenges remain unique to each country (although with a few commonalities between some of them).