The rising cost of fuel continues to ‘hurt’ tourism, according to the International Air Transport Association chief executive Tony Tyler, who stressed oil now accounts for up to 34 percent of average operating costs.

The aviation Group’s head explained the small 4.4 percent growth in passenger capacity during March this year compared to last year could be pinned to ‘stubborn’ fuel costs which shot up to $147/barrel in July last year.

Although having since fallen back to $50/barrel in November, Mr Tyler said the industry had never before “sustained [such] high oil prices”.

“Jet fuel prices have risen 8% since January,” he said.

“Considering that fuel now accounts for 34% of average operating costs, it’s an increase that hurts.”

For the third month of 2012, international travel almost reached double digit growth with 9.6 percent increase on the same period last year, while the domestic market experienced a slow growth of 4.5 percent.

Middle Eastern airlines recorded the strongest traffic growth for the month with a 20.9 percent growth in demand followed by African airlines with 14.3 percent more demand.