SOUTHERN AFRICA
How loss-making regional airlines buck the global trend
Livingstone, Zambia — The aviation industry in Southern Africa is expected to report a collective $300m loss during 2018, while the industry in the rest of the world is likely to return a $33.8bn profit over the same period, the Airlines Association of Southern Africa (AASA) said on Friday. Demand for air transport in Southern Africa is expected to increase slowly by 2% to 3% a year over the next five years, reflecting weak GDP performances in the region, according to AASA projections. Africa overall is expected to report a collective loss of $100m for the period, reflecting relatively stronger performances of Ethiopian Airlines and Air Mauritius. AASA CEO Chris Zweigenthal told delegates to the association’s annual general assembly that the airline industry needs Southern African governments to clarify their local economic reform policies “so they do not spoil the appetite for much-needed trade and investment in the region”.
“For the aviation industry to expand and fulfil its...
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