Sharp improvements in global cargo and passenger demand had continued throughout the second quarter of the year, with more than 80% of respondents in the International Air Transport Association’s (Iata’s) latest business confidence index having indicated a rise in passenger demand.

Iata noted that similar increases in cargo demand had also been experienced during the second quarter of the year.

Airlines were confident that demand would further improve going forward.

Further, almost 70% of respondents had reported improved profitability during the June quarter, with a similar proportion of respondents expecting further improvements over the next year, stated Iata.

The global airline industry was expected to make a $2,5-billion profit for 2010, after having posted a record $11-billion loss in 2009.

Iata further reported that employment levels seemed to be expanding again, as demand and output increases, a trend that was also likely to continue.

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