Coronavirus hits PIA, national carrier suffers billions in losses  

• Coronavirus has disturbed the schedule of the airlines as tickets of 50,000 passengers have been canceled.
• The losses will mount further if the temporary ban by the Saudi authorities on the entry of Umrah pilgrims and tourists is not lifted soon.

The ongoing epidemic of coronavirus has hit the operations of the Pakistan International Airlines (PIA) hard after the national carrier announced that it has suffered losses of Rs2 billion.

Following Saudi Arabia's decision to temporarily suspend Umrah and tourist flights citing the outbreak of COVID-19, which has dented PIA’s profits. As per the airline officials, coronavirus has disturbed the schedule of the airlines as tickets of 50,000 passengers have been canceled.

The authorities said that 34 flights to Medina and 13 to Mecca are scheduled weekly for business visas and iqama holders despite fewer passengers.

Apart from slowing down the global economy the outbreak of the novel coronavirus has brought in major challenges for the airline industry, which is witnessing a sharp drop in bookings. A number of airlines are announcing to cut flights as well, including Australian giant Qantas airline that announced that it would reduce international flights by nearly 25pc as it sees demand fall from passengers worried about the coronavirus.

Earlier in February, Business Recorder reported that a 48-hour ban on Umrah pilgrims imposed by the Saudi government to avoid spreading coronavirus cost Pakistan International Airlines (PIA) approximately Rs180 million.

The losses will mount further if the temporary ban by the Saudi authorities on the entry of Umrah pilgrims and tourists is not lifted soon. Furthermore, the financial loss is expected to climb due to the suspension of flight operations for Qatar and Iran as well.