Akwaaba Aviation day: Africa urges to focus on infrastructural, open skies, external and internal factor to boost development As SAT partners NANTA, NATOP, TOUGHA

Akwaaba Aviation day: 

Africa urged to focus on infrastructure, open skies, external and internal factor to boost development 

As SAT partners NANTA, NATOP, TOUGHA

The ongoing travel and tourism show, Akwaaba African Travel Market (AfTM), where Africa meets the world enters the second day with exciting panellists’ session that focus on two strategic topics; State of Aviation and why Airlines fail and Tourism planning in Africa and e-Tourism.

The first session which was described by audience as timely and wonderfully, because of its wide range of highlights, rallied well informed panellists who spoke extensively on how to reposition the aviation industry to compliment Africa’s comparative advantage as a lucrative business hub.

Also the South Africa Tourism in it promotional bid signed MoU with NANTA, NATOP, TOUGHA.

SUSTAINABILITY OF AIRLINES – Internal
Multi-Hub Strategy

This has helped several Airlines improve network and avoid regulation and policy barriers. In Africa this strategy is already in place. And more examples would emerge with the Liberalization of African Skies starting in 2017.

For instance, Ethiopian has hubs in Addis Ababa and Lome. SAA has hub in Johannesburg and Dakar. Singapore Airlines has base of operation in Delhi helping it tap into the Indian market; it has a stake in an airline in India, Vistara. So it also has in Thailand through Nok Airline, among other examples.

SUSTAINABILITY OF AIRLINES – External
Costs in Operating Environment
Cost of operation in the operating environment is among the greatest challenges to African Airlines. Taxes, charges, fees

Economic Diversification

Diversification of local economies to create economic empowerment for locals, and economic attraction for foreign business people and traders flying in for business, etc. Governments should ensure this is achieved to support African Airlines. Creating understanding through proper education of ministries of interior, trade and investment, to stimulate real sector to drive production to feed cargo airlines.

Political Will to drive economy

Political will to support airlines in times of need e.g. bailouts, waivers – ensuring that waivers are implemented and not only on paper. Till today in Nigeria airlines have to lobby and call high powers to free their engines and aircraft spares from the 10% duties and tax slammed on these imports. i.e. 5% duty and 5% vat. Governments should not see Airlines as cash cows, but rather as vital economic catalysts to be supported to drive the larger economy.

Improved Airport infrastructure
Population and geography only do not give one a hub, if not Nigeria, Ghana & Senegal would have been mega hubs. The state of the facilities and operating environment including economy, policies among others, give structure a destination as a hub.

Consider Hong Kong, Singapore, Dubai, Abu Dhabi, etc. without large populations, but with air traffic many times more than their entire populations. Singapore has 5.6 million population, but Changi Airport processed 50 million passengers in 2015

SMARTER REGULATION
Political will to support airlines in times of need e.g. bailouts, waivers –ensuring that waivers are implemented and not only on paper. Till today in Nigeria airlines have to lobby and call high powers to free their engines and parts from the 10% duties and tax slammed on these imports. i.e. 5% duty and 5% vat.