Africa’s Aviation Potential Remains Untapped – DG, IATA

  • Willie Walsh emphasised Africa’s untapped aviation potential. Despite having 18% of the world’s population, Africa accounts for just 2% of global air transport.
  • Walsh highlighted vital challenges, including high costs, safety standards, and blocked funds, urging action to improve financial stability and connectivity.
  • He stressed the role of Sustainable Aviation Fuels (SAF) in achieving net-zero emissions by 2050 and called for increased investment in Africa’s SAF sector to drive economic growth.

Willie Walsh, Director-General of the International Air Transport Association (IATA), addressed the 56th Annual General Assembly (AGA) of the African Airlines Association (AFRAA) in Cairo. He emphasised Africa’s potential in aviation, noting that the continent’s population represents 18% of the world’s total, yet Africa accounts for only 2% of global air transport.

Walsh began by highlighting Africa’s vast, untapped aviation potential. “Africa has enormous potential,” he said, stressing that the continent’s aviation sector lags behind global standards despite its large population. He explained that realising this potential requires overcoming key challenges such as high operational costs, heavy taxes, inadequate safety standards, and poor airport infrastructure.

He stressed that safety forms the foundation of the industry. He praised African airlines for making significant safety strides, pointing out that airlines had no hull losses or fatal accidents from 2020 to 2023.

However, Walsh noted setbacks in 2024 and urged African airlines to commit to global safety standards. He highlighted the importance of adhering to the International Air Transport Association’s Operational Safety Audit (IOSA) and using data-sharing systems like the Global Aviation Data Management (GADM).

“Africa has made great strides in safety, but even in 2023, its turboprop hull loss rate remained the highest globally. This shows there is still more work to be done,” Walsh said.

He also addressed the issue of blocked airline funds, a pressing concern for African carriers. Walsh revealed that $1.662 billion in airline revenues remain blocked globally, with $950 million tied up in African nations. He warned that these financial obstacles could disrupt air connectivity and harm economic growth. “If airlines cannot repatriate their revenue, they cannot provide service. Without connectivity, economies will suffer,” he stated.

Walsh then discussed sustainability, a significant focus for the aviation industry. The global sector aims to reach net-zero carbon emissions by 2050. Walsh emphasised that Sustainable Aviation Fuels (SAF) will play a significant role in this transition. He noted that SAF could contribute more than 60% of the industry’s needed carbon reductions. Walsh argued that Africa has the resources to lead in SAF production.

“Africa has the people and the resources to develop a world-leading SAF sector,” Walsh said. However, he stressed that achieving this potential requires financing and government support. He called on financial institutions, including Afreximbank, to prioritise SAF development, which could create jobs, stimulate economic growth, and foster energy independence in Africa.

In closing, Walsh expressed optimism about Africa’s future in aviation. “We are committed to working closely with AFRAA and supporting your success,” he said. He emphasised IATA’s continued focus on the needs of African airlines and pledged to help them navigate challenges.

The AFRAA AGA 2024 was a crucial platform for industry leaders to discuss Africa’s aviation future. Key themes included improving safety standards, tackling financial barriers, and developing sustainable aviation solutions. As Africa seeks to unlock its full aviation potential, collaboration and investment will be vital in overcoming its challenges.

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