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· The latest report by the African Airlines Association (AFRAA) has projected a revenue loss of $8.103 billion this year to Africa’s aviation industry
· Analysis shows passenger revenue dropped to $2.740 billion in Q2 of this year with Q1 costing $0.403 billion
The latest report by the African Airlines Association (AFRAA) has projected a revenue loss of $8.103 billion this year to Africa’s aviation industry due to COVID19. The impact assessment analysis shows passenger revenue dropped to $2.740 billion in Q2 of this year with Q1 costing $0.403 billion. The analysis released this week is the first in a series of studies to be published by the association. The association analysis projects the sector to revive from the third quarter of 2020 with the resumption of domestic operations, followed by regional and intercontinental flights. The report reveals that the industry recorded a fall of 90.3 per cent year on year passenger traffic in the month of May.
AFRAA analysis reported a shortage of cargo plane capacity since March 2020, due to demand-driven from the Covid-19. With several airlines suspending their operations, the supply of medicines and essential goods faced a crisis.
During the launch of the report, AFRAA Secretary-General, Abdérahmane Berthé stated that the availability of liquidity is the main issue for airlines to survive and restart their operations. He urged African governments to consider a bailout and stimulus to salvage the industry and called upon the international financial institutions and development partners to support Airlines and ensure the availability of much-needed credit and liquidity.
