The aviation industry is still getting over the losses from the pandemic that severely disrupted airline operations around the world, according to the International Air Transport Association.
The Punch reported that Africa’s aviation industry is predicted to have suffered $7.7 billion in losses in 2020 as a result of government restrictions imposed to stop the COVID-19 virus from spreading.
Nigeria lost almost N21 billion a month during the outbreak, according to IATA estimates. According to analysts, the aviation sector’s current state is unlikely to improve and reach 2019 levels until 2024.
AITA’s Regional Vice-President for Africa and the Middle East, Kamil Alawadhi, At the 55thAFRAA Annual General Meeting, advised governments not to view the aviation sector as a cash cow if the sector is to grow.
He declared, “The aviation sector in Africa is still getting over major losses brought on by the pandemic.
“Governments should refrain from enacting new taxes, levies, carbon taxes, or increased fees on trade, tourism, or air travel in order to make up for this shortfall.
“In Africa, where the average airfare is already 30% higher than the industry average and the cost of jet fuel is 10–20% higher than the global average, these measures would only make air travel more expensive and less accessible.”
He stated that increased expenses will deter price-sensitive consumers while the industry is still recovering, which will have an effect on revenue.
“They would also impede economic growth and curtail prospects for generating income and jobs. In a price-elastic market, high cost leads to high price, which diminishes demand and growth and ultimately has a negative impact on connectivity.”
He counselled the governments to ensure an equitable and economical operating environment that benefits a more connected continent by adhering to the International Civil Aviation Organization’s policies regarding fees and infrastructure and consulting with airlines and industry.
