The African Airlines Association (AFRAA) has called on governments, regional bodies, and development finance institutions to lower operational costs, release trapped revenues, and expand aircraft financing to support the continent’s aviation industry.
Speaking at a media roundtable held at the Sarit Expo Centre in Nairobi under the theme “Resilient African Aviation: Partnerships, Empowerment, Profitability,” AFRAA leadership highlighted a stark disconnect between surging passenger traffic and razor-thin airline profitability across Africa.
AFRAA, representing 50 member carriers that transport more than 85 percent of international traffic among African operators, warned that high government taxes, blocked airline funds, and severe geopolitical disruptions threaten carriers’ long-term financial sustainability.
Africa’s passenger traffic is projected to reach 137.3 million travelers in 2026, marking a 21.5 percent increase compared to 2025. This growth is underpinned by the continent’s expanding population of 1.58 billion—with a median age of 19—and average annual economic growth of 4.3 percent.
However, air travel penetration remains at only 7 percent of the population, among the lowest globally. Despite strong demand, African airlines are projected to generate net margins of only 0.2 to 1.3 percent in 2026, as capacity expansion outpaces revenue yields and operating costs escalate.
Taxes, passenger fees, and statutory charges represent 35 to 40 percent of average ticket prices in Africa, nearly double the global benchmark of roughly 20 percent. Furthermore, African governments are holding an estimated $774 million in blocked airline revenues due to foreign exchange shortages as of March 2026, representing the largest regional share of trapped funds globally.
Operating conditions are further strained by conflict-related airspace closures across the Sahel. A roughly 4,000-kilometer no-fly corridor spanning Niger, Mali, Sudan, and Libya has forced airlines to undertake lengthy, fuel-intensive reroutings, driving up operational expenses.
“African aviation is ready to deliver on its promise to connect our economies, move our trade, and carry the growth that this continent’s youth and enterprise are already generating. But readiness is not the same as capacity,” said Abderahmane Berthé, Secretary General of AFRAA. “Our airlines are being asked to carry that promise on some of the thinnest margins in the world, while absorbing costs, blocked funds, and shocks that carriers elsewhere simply do not face.”
