The International Air Transport Association (IATA) forecasts that total passenger traffic in the Philippines will double its 2023 levels by 2043, reaching at least 140 million passengers, with potential to surpass 200 million, underscoring the country’s pivotal role in Asia-Pacific’s fast-growing aviation market.
The forecast was announced during the 2025 Aviation Summit, held at the Marriott Grand Ballroom in Pasay City, where IATA highlighted the region’s robust long-term growth trajectory.
“The Philippines’ aviation growth reflects the broader momentum across Asia-Pacific,” said Mr. Samuel David, IATA Country Manager for the Philippines. “As the region continues to expand, we see enormous opportunities for the Philippines to strengthen its position as a key aviation hub.”
According to IATA, the Asia-Pacific region will drive 66% of global passenger growth over the next two decades, with regional passenger traffic expected to triple. This translates to an increase of 2.5 billion passengers annually, representing a compound annual growth rate (CAGR) of 5.1%.
Globally, IATA anticipates a major realignment of the world’s largest air passenger markets. China is expected to overtake the United States by 2030, and by 2043, seven Asia-Pacific countries—China, India, Indonesia, Japan, Vietnam, Thailand, and South Korea—are forecast to rank among the top 15 global air passenger markets.
Mr. David noted that the Philippines is not far behind and could soon join this list as its aviation infrastructure and connectivity continue to improve.
Within Southeast Asia, the ASEAN aviation market is projected to experience significant expansion. By 2043, IATA estimates that aviation will support 28 million jobs and contribute approximately USD 630 billion to the region’s GDP, with a 5.3% annual GDP growth rate attributed to aviation activities.
While the outlook remains optimistic, IATA emphasized the need to address key challenges that could affect the region’s growth. These include geopolitical tensions, fragmented regulations, infrastructure limitations, rising operational costs, over-tourism, and the absence of a unified regulatory body. Nonetheless, the region’s strong investment climate, digital transformation initiatives, and competitive business environment are expected to sustain its long-term expansion.
As part of its commitment to innovation, IATA introduced its OneID initiative, a digital solution designed to simplify passenger processing and create a seamless, contactless travel experience.
The Civil Aviation Authority of the Philippines (CAAP) recently expressed its support for OneID, signaling the country’s strong commitment to digital transformation and passenger convenience in the aviation sector.
