Africa economy

In Africa, air transport needs a solution to recover after the pandemic

Audio 02:28

Aafra and the companies are also pleading for a general reduction in airport taxes or even the maintenance of reduced taxation, as was the case during the pandemic.

(Illustrative image) © AP/Elias Asmare

By: Olivier Rogez Follow

3 mins

19 billion dollars in cumulative losses between 2020 and 2021, African airlines have suffered from the Covid-19 pandemic.

Today is the time for the resumption of air traffic, but companies need support measures.

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The announced disaster did not take place.

Despite colossal losses, 19 billion dollars in two years, African air transport has overcome the Covid-19 crisis.

Even if seven companies went bankrupt during the period.

African states have provided $4 billion to support the sector, and businesses have adapted.

Thus the cargo activity has increased from 10 to 33% of the traffic of African companies.

This development is now a heavy trend according to Abderrahmane Berthé, the secretary general of Aafra, the association of African airlines.

Cargo has a very strong development expected in Africa for their reason.

First of all the development of e-commerce, and then the commercial free trade zone which will develop the development of intra-African trade, which will boost cargo flights.

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But for the companies to regain their level of activity of 2019, Abderrahmane Berté calls on the States to lift the health restrictions as much as possible. 

As you know in other regions in Europe or North America some restrictions have already been lifted and this is accelerating the resumption of transport in these regions.

We want Africa to follow.

I give you an example.

Some states require vaccination.

While the level of vaccination in Africa is around twelve-thirteen percent.

It's a brake on travel, and we know that just because you're vaccinated doesn't mean you don't catch Covid-19.

Some states are implementing quarantine measures.

There is also the cost of the PCR tests.

All this is a brake on air transport.

For aircraft leasing

Aafra and the companies are also pleading for a general reduction in airport taxes or even the maintenance of reduced taxation, as was the case during the pandemic.

The African Union has some ideas.

Thus Afreximbank, the African bank for foreign trade, wants to create an aeronautical leasing company to allow companies to lease planes without having to invest too much equity.

A solution applauded by Désiré Balzire Bantu, former boss of Congo Airways and expert in the sector. 

When you look at Africa, people (the companies' editor's note) are often content to take almost decommissioned planes, over 25 or 35 years old, which cannot fly anywhere other than in Africa.

But if ever we have the possibility of accessing financing, we will have the possibility of buying new planes.

And new planes consume less fuel and pollute less, which is important.

Africa must encourage leasing to access new aircraft.

devices that will generate better income and also less pollute the environment.

Leasing allows capital flexibility and rapid adaptability to market conditions, since you can change aircraft whenever you want.

It remains for the African Union to support the Afreximbank project.

The needs of African companies for new aircraft are estimated at 250-300 aircraft.

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