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Competition heats up in East African skies

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  • Ethiopian Airlines Group, the largest Pan-African airline, was ranked as Africa’s top airline in passenger and freight traffic.
  • But the yearlong war with Tigray region and the financial crisis has drained the Airlines.

Ethiopian Airlines Group, the largest Pan-African airline, was ranked as Africa’s top airline in passenger and freight traffic. According to the African Airlines Association’s (AFRAA) report, Ethiopian Airlines has been ranked first by passenger and cargo traffic in 2020. But the yearlong war with Tigray region and the financial crisis has drained the Airlines. Kenyan Airways that also enjoyed a significant market share also ran into a financial squeeze and survives on a government bailout.

This has provided a good opportunity for other Airlines in the region to spread their wings. Regional carriers such as Air Tanzania, Uganda Airlines and RwandAir have laid out their expansion plans. During the Dubai Show, Ugandan Airlines and Air Tanzania have signed aircraft and spare parts supply deals with leading manufacturers Airbus and Boeing to ensure smooth services in the region and beyond. Tanzania placed a $726 million order of four Boeing freighters and passenger jets to boost the airline’s capacity. Tanzania announced order of a 787-8 Dreamliner, a 767-300 Freighter and two 737 MAX jets. Air Tanzania said that the purchase of the new aircraft is to expand its services to new markets across Africa, Asia and Europe. Meanwhile, RwandAir has signed a codeshare agreement with Qatar Airways that gives it access to the Qatari carrier’s huge network.

In short with due support from their governments, Ugandan, Tanzania and Rwandan national carriers, are aggressively pursuing expansion plans, both on aircraft and routes, as they seek to claim the market share lost by their bigger rivals.

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