That is the opinion of Regional Express (Rex) executive chairman Lim Kim Hai, who believes the domestic and international aviation industries will take even longer to recover.

"Rex believes that regional aviation will recover much sooner than the domestic or international sectors and, barring further waves of outbreak, Rex sees regional aviation returning to normalcy within two years," Mr Lim said.

Rex, which flies to 59 destinations across Australia, was thumped by the coronavirus-driven restrictions on movement.

It announced a $19.4 million statutory after tax loss for 2019-20.

"The COVID-19 pandemic devastated almost every industry, with aviation being hit the hardest," Mr Lim said.

"Even Rex, which had virtually no debt and strong cashflow in the past, was brought to its knees, with passenger numbers plummeting 90 per cent (between March 15 and March 28)."

He said passenger revenue fell by $65 million in the June quarter.

Rex's results included booking a $62 million impairment, which Mr Lim said was in anticipation of difficult trading conditions in the next two years.

"The losses were reduced by grants provided by the commonwealth to all regional carriers to assist with financial liquidity," Mr Lim said.

"Rex booked in $62.1 million of such government grants and subsidies in financial year 2020, which included the JobKeeper subsidy."

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He said swift actions by the Morrison Government and Deputy Prime Minister Michael McCormack had saved the regional aviation industry.

Rex remains keen to take on Qantas on routes between the big mainland capitals.

It aims to start domestic jet operations in March next year.

"We believe that Australia deserves an alternative domestic carrier that is safe, reliable, convenient, affordable and, most importantly, one that can go the distance against the Qantas Group," Mr Lim said.

"The board expects that these operations will be funded by either a sale and leaseback of aircraft within the existing Saab fleet or by other interested parties.

"Discussions with interested parties are continuing, but are not yet finalised."