Published on : Friday, October 6, 2017
The International Air Transport Association (IATA) forecasts Africa will be a market of 350 million airline passengers by 2035 and identified four priorities which must be addressed if aviation is to deliver maximum economic and social benefits for the countries on the continent.
African aviation currently supports 6.8 million jobs and contributes $72.5 billion in GDP. Over the next 20 years passenger demand is set to expand by an average of 5.7% annually.
This opens up incredible economic opportunities for the continent’s 54 nations.
“Aviation is the lifeblood of Africa. It connects business, enables trade and tourism, reunites families and friends, links cultures and delivers aid to those in need. But despite aviation’s social and economic benefits, airlines are seeing their profits eroded and margins squeezed. Globally, the average profit per passenger in 2017 will be about US$7.69. In contrast, African carriers are forecast to lose US$1.50 per passenger,” said Muhammad Ali Albakri, IATA’s Regional Vice President for the Middle East & Africa, at the IATA Middle East and Africa Aviation Day in Jordan.
“Global and African geopolitical and economic issues are beyond our direct control but there are four pressing concerns in Africa posing obstacles to a healthy and strong aviation system that can and must be addressed by governments and industry stakeholders,” said Al Bakri.