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By Judson Rollins

May 1, 2023, © Leeham News: Could Africa's first real "open skies" implementation boost its aviation recovery? So far, the continent's rebound from covid has been anemic as food and energy crises, surging inflation, and debt tightening have battered consumers and producers alike.

Source: Wikipedia.

A December report from the International Air Transport Association (IATA) showed Africa's post-covid traffic recovery on a trajectory like Europe or Latin America, with 2019 passenger volumes not expected to return until 2025. Industry economists believe the average African airline profit margin this year will be -1.7%. The US dollar's continued strength hasn't helped, given its impact on most non-labor airline costs, and looms as an even greater threat to profitability in coming years.

Summary

• African aircraft order books are relatively thin
• Flag carrier troubles, limited affordability continue to dampen growth
• Single African Air Transport Market: a new chapter?