IATA Explanations

Abbreviated as IATA by Abbreviationfinder, International Air Transport Association is the instrument for cooperation between airlines, promoting safety, reliability, trust and economy in air transport for the economic benefit of its private shareholders. Any airline that has the possibility of operating a regular international air service, governed by the Government of a State that belongs to ICAO (ICAO, International Civil Aviation Organization), can belong to IATA. Companies that operate only domestic flights can participate as associate members with voice but without vote.


The modern IATA (in English “International Air Transport Association” or IATA) (1945) is the successor to the International Air Traffic Association, founded in The Hague (Netherlands) in 1919, time of the first international scheduled airlines of the world. The association was founded by 57 members, from 31 mainly European and North American nations. After several years of transition, it was relaunched for America and the world in the Chicago Convention on December 7, 1944 and it was finally modified a year later in October 1945 in Havana. Cuba.

IATA mission

  • Represent:

IATA represents 242 airlines that translate into 94% of the regular international passenger offer, measured in seat kilometers offered, equivalent to 84% of the world total.

  • Lead:

IATA seeks to help airlines by simplifying processes and increasing the convenience of the financial flow of their revenues while reducing costs and increasing efficiency.

  • Serve:

IATA assures people of movement around the globe with its airline network, in addition to providing essential professional support and a range of expert products and services, such as publications, training and consultations.

IATA offers benefits to all parties involved in air trade. 1. For Consumers: Simplify travel and transportation processes, while keeping costs low. 2. IATA allows airlines to operate safely, efficiently and economically, under defined rules. 3. IATA serves as an intermediary between the passenger, freight forwarders and airlines. 4. A wide network of supplier industries and service providers see IATA as a solid provider of a variety of industrial solutions. 5. For governments, IATA seeks to ensure that they can be well informed of the complexities of the aviation industry.


The organization’s headquarters are in Montreal and it has a second permanent office in Geneva. There are also regional offices in Beijing, Johannesburg, Madrid, Miami, Moscow, Singapore and Washington. and 63 local offices distributed in 60 countries. The supreme authority of IATA is exercised by the General Assembly made up of representatives of all active members who decide by majority based on 1 vote per company. The General Meeting is held once a year and among other things the President of IATA is elected from among the representatives of the airlines. The Governance Committee is the executive body and is made up of 30 members elected by the General Assembly. They are usually the representatives of the airlines with the highest volume of traffic in their geographical area.


  • Clearing House:

It began to function in 1947 and depends on the Finance Committee. It is a mechanism that allows the settlement of intercompany charges without the need for a physical movement of large sums. It is based in Geneva and has its own regulations, reporting directly to the Director General of IATA. The Clearing House settles monthly in the currency chosen by the airline (US dollars, euros or British pounds) through the IATA exchange rate for that month, proceeding to a special settlement if the national currency of the company in question has fluctuated more than 10% compared to the one chosen as a reference.

  • Bank settlement plan:

It allows bank settlement of tickets and passage between agencies and airlines of the same country or neighboring countries.

  • Baggage search system BAGTRAC:

Coordinates the recovery of lost luggage through a common data center located in Atlanta, having approved the format of a common identification card.

  • IATA Operational Safety Audit (IOSA):

It is a system of operational safety audits recognized by ICAO that aims to standardize the levels of safety in all airlines. Since 2010 it is a requirement to be a member of IATA.

  • Simplifying the business:

It is a program that aims to simplify the procedures necessary for air travel. In June of 2008 it was successfully completed removing the paper ticket in favor of the electronic ticket. The program also includes the installation of common automatic check-in points (CUSS), baggage handling improvements (BIP), including technological initiatives such as radio frequency baggage identification (RFBI), the replacement of magnetic boarding passes with others. based on barcodes (BCBP), elimination of the air waybill, replacing it with an electronic document (IATA e.Freight) and the Fast Travel Program that allows the traveler to personally solve the boarding procedures.

IATA code

The IATA airport code is a three letter code that designates every airport in the world. These codes are decided by the International Air Transport Association IATA. The codes are not unique: 323 of the approximately 20,000 codes are used by more than one airport. The letters clearly displayed on the baggage tags used at airport boarding tables are an example of the use of these codes.