Cathay Pacific Airways Ltd on Monday warned passenger capacity could be cut by about 60% and monthly cash burn may rise if Hong Kong installs new measures that require flight crew to quarantine for two weeks. Hong Kong’s flagship carrier said the expected move will increase cash burn by about HK$300 million ($38.70 million) to HK$400 million per month, on top of current HK$1 billion to HK$1.5 billion levels. Hong Kong is set to require flight crew entering the Asian financial hub for more than two hours to quarantine in a hotel for two weeks, the South China Morning Post reported last week, citing sources. “The new measure will have a significant impact on our ability to service our passenger and cargo markets,” Cathay said in a statement. Cathay added that expected curbs will also reduce its current cargo capacity by 25%. The airline industry has been hit hard by the COVID-19 pandemic as many countries imposed travel restrictions to contain its spread.