New Delhi, March 9 (TIWN) At a time when world growth is projected to slow down further as the coronavirus (Covid-19) epidemic spreads across continents, a new report has suggested that the prolonged duration of the outbreak will significantly set back the airports in the Asia Pacific region from the previously forecast growth prospects and result in $3 billion revenue loss.

According to the estimates of the Airports Council International (ACI) Asia-Pacific, the region is suffering the highest impact, with passenger traffic volumes down 24 per cent for the first quarter of 2020, compared to the forecast traffic levels.

Within the region, mainland China, Hong Kong SAR and South Korea remain at the centre of the effects with sizable losses in traffic volumes, the global airport grouping said in its report, adding that with the sharp spike in the number of Covid-19 cases in several countries in the Middle East, the traffic volume has gone down 4.2 per cent, as travellers and airlines adjust their plans and seat offers for the coming days and weeks.

"Against this gloomy background of sharp declines in traffic and passenger throughput, airports'' aeronautical revenues and non-aeronautical revenues are rendering similar declines," ACI said.

The ACI World Airport Traffic Forecasts 2019-2040 predicts $12.4 billion revenue for the first quarter in the Asia-Pacific region in the "business as usual" scenario. The impact of Covid-19 is projected to cause a revenue loss of $3 billion.

The airport association has also urged regulators and governments to implement well-defined adjustments and relief measures tailored to suit the local level contexts.

The shortfall in the number of passengers and the cancellation of flights leads to reduced revenues from airport charges such as landing and parking fees paid by the airlines, and passenger service and security charges paid by the travellers.

While aeronautical revenues are under pressure, the cost base for airport operations remains unchanged as airports can neither close nor relocate their terminals amid the Covid-19 outbreak.