The International Air Transport Association said on Thursday that the global airline industry will recover strongly this year on the shoulders of Asia and Latin America. IATA is the trade body for airline industry. Though the association said that still the industry will post a loss in FY 2010, it cut the expected loss by around 50%.

IATA said that the industry will see a growth in both passenger and freight numbers this year. The recovery in the airline industry signals the increasing number of exports. This is very good news for the global economy as it would be benefited by the increasing number of exports.

IATA said that now it expects a combined loss of $2.8 billion by the world's airlines in 2010. Earlier in December, IATA provided estimates of $5.6 billion loss by the industry in 2010. IATA estimates that the air freight will contribute around 30% of total world trade by value. IATA also forecasted the revenues of $522 billion in this year.

However, IATA projects North Atlantic and Europe as the weakest international markets.