New Delhi, Aug. 26 -- Asia-Pacific airlines including those in India may keep airfares elevated even as jet fuel prices ease, as resilient passenger demand gives carriers room to recover higher operating costs, according to an S&P Global Ratings sector report.

"Even as jet fuel prices ease, we believe airlines may not be inclined to reduce fares quickly since demand has proven to be more inelastic," S&P Global Ratings said in its latest report.

Airlines in the region have raised ticket prices to offset the sharp increase in fuel costs. S&P estimated that passenger yields, a measure of revenue earned per passenger, increased about 10-15 per cent year-on-year as of June 2026.

However, higher fares have so far had only a limited impact on...