Why AI Will Dominate the Conversation at the 2026 KATA AGM

As artificial intelligence rapidly transforms the global travel industry, the 2026 Kenya Association of Travel Agents AGM & Convention is positioning itself around a central question facing the sector: how do travel businesses build sustainable, future-ready companies in an increasingly digital world?

That conversation sits at the heart of this year’s theme, “The Journey: Build to Last.”

Set for June 5 and 6 at PrideInn Paradise Beach Resort & Spa, the convention will be preceded by an optional masterclass on June 4 focused on Digital Marketing in an AI Era, reflecting the growing urgency for travel businesses to adapt to technology-driven disruption.

The masterclass comes at a time when artificial intelligence is reshaping nearly every layer of the travel ecosystem. Airlines are using AI-powered pricing systems and predictive analytics, hotels are investing in automated customer engagement tools, and online travel platforms are increasingly relying on machine learning to personalize recommendations and influence consumer choices.

Globally, industry estimates show that more than 80% of travel companies are already investing in or piloting AI technologies aimed at improving marketing efficiency, customer targeting, and operational performance.

For travel agents, the shift is becoming impossible to ignore.

Today’s traveller can generate itineraries, compare destinations, receive personalized recommendations, and access travel information within seconds through AI-powered platforms. In such an environment, traditional travel businesses are under growing pressure to evolve beyond conventional sales models.

Industry analysts estimate that AI-driven personalization can improve marketing conversion rates by as much as 30%, while significantly lowering customer acquisition costs.

For African travel businesses, however, the challenge goes beyond adopting new tools. The larger question is whether local operators can remain visible and competitive in a marketplace increasingly controlled by algorithms, automation, and data-driven consumer engagement.

That reality is expected to define much of the discussion at the KATA masterclass, which will explore how businesses can leverage AI, digital marketing strategies, and modern data tools to improve customer engagement and long-term sustainability.

The session will be led by Moses Kemibaro, founder and CEO of Dotsavvy, whose work focuses on digital transformation and technology strategy across African markets.

The broader AGM itself is also continuing to grow in scale and influence.

Following strong participation in 2025, the 2026 convention is expected to attract more than 400 delegates from over 15 countries, including travel agents, airline executives, tourism boards, regulators, hoteliers, government officials, and technology companies.

What was once viewed largely as an association gathering is increasingly evolving into a regional industry platform where aviation, tourism, hospitality, technology, and policy intersect.

That growth reflects wider shifts within Africa’s travel sector. According to the International Air Transport Association, passenger traffic across Africa is projected to grow steadily over the next two decades, while digital travel bookings and online consumer engagement continue to expand rapidly.

But as technology accelerates industry transformation, stakeholders say sustainability will increasingly depend on adaptability.

And that is where this year’s AGM theme appears particularly relevant.

Because in today’s travel industry, “building to last” may no longer depend solely on selling tickets or securing clients.

It may depend on whether businesses can successfully navigate the technological changes already reshaping the future of travel.

Kenyan Travel Agents Raise Concerns Over Possible IATA Remittance Changes

It is Friday afternoon in Nairobi. A corporate travel agency has just confirmed several international bookings for a client whose executives are expected to travel the following week. The tickets are issued immediately. The airline expects payment within days. But the company being billed may not settle the invoice until the end of the month.

For many Kenyan travel agents, the waiting period between paying airlines and receiving payment from clients is where the real business pressure lies.

Now, discussions about a possible proposal to shorten remittance timelines under the International Air Transport Association (IATA) Billing and Settlement Plan (BSP) are raising concerns across the industry, with agencies warning that any such move could significantly disrupt cash flow in the local market.

While no official changes have been announced, the prospect alone has sparked debate within Kenya’s travel trade.

The Kenya Association of Travel Agents (KATA) has cautioned that shorter remittance cycles, if implemented, could place heavy financial pressure on agencies by requiring them to remit funds to airlines long before corporate clients settle their accounts.

At the centre of the concern is a business model that differs sharply from many global markets.

In Kenya, corporate and government travel continue to form a substantial share of agency business. Unlike leisure travellers who pay instantly online using cards or mobile payments, many organizations operate on invoicing arrangements that can take weeks, sometimes longer, to clear.

That means travel agents often absorb the financial gap themselves.

Under the BSP system, accredited agencies collect ticket payments on behalf of airlines before remitting funds through IATA’s centralized settlement structure. The system has long served as the financial backbone of global airline distribution, handling billions of dollars in ticket sales every year.

But agents warn that if remittance timelines were ever shortened, the burden would shift heavily onto agencies already operating within tight margins.

In practical terms, a travel company could issue millions of shillings worth of airline tickets in a week while still waiting for payment from clients whose internal procurement and finance processes move much more slowly. Yet airline obligations would remain immediate.

Industry stakeholders say that the dynamic could create serious liquidity pressure, particularly for small and medium-sized agencies without access to large cash reserves or affordable credit facilities.

Critics within the sector argue that global policy conversations often overlook the realities of emerging markets, where credit-based business remains common, and cash flow management is central to survival.

For many travel agencies, the fear is not necessarily about growth slowing down but about sustainability itself.

Observers warn that stricter remittance demands could eventually accelerate consolidation within the industry, favouring larger players with stronger financial muscle while smaller travel agencies struggle to keep up.

That would have wider implications for Kenya’s travel ecosystem, where independent agencies continue to play a critical role in corporate travel management, customer service, regional tourism, and complex itinerary planning.

The discussion also comes at a time when the global aviation industry is undergoing rapid transformation. Airlines are increasingly shifting toward modern retailing models powered by New Distribution Capability (NDC), giving carriers more control over pricing, distribution, and customer data.

While these developments promise greater efficiency and personalization, Kenyan agents insist that financial realities must remain part of the conversation.

For KATA and industry stakeholders, the issue goes beyond operational timelines. It is about ensuring that global aviation systems evolve in a way that reflects local market conditions rather than imposing structures that may work in mature economies but create strain in developing ones.

Because in Kenya’s travel business, issuing the ticket is often the easy part.

The harder part is surviving long enough to get paid for it.

Travel in the Age of AI: Why Human Expertise Still Matters

The travel industry is entering a new era — one increasingly shaped not by brochures or booking agents, but by algorithms.

From AI-powered itinerary planners to chatbots capable of building holidays in seconds, technology is rapidly changing how travellers search, compare, and book their journeys. But as artificial intelligence becomes more deeply embedded in the travel experience, a critical question is emerging: what happens to the role of traditional travel businesses?

Across the industry, the message is becoming clear — travel companies can no longer compete on access to information alone. AI can already do that faster.

Today’s travellers can generate personalised itineraries, compare flights, receive destination suggestions, and even get restaurant recommendations through AI-powered tools within minutes. The convenience is undeniable. But industry analysts warn that this shift is forcing travel brands to rethink their value in a market increasingly mediated by artificial intelligence.

The rise of the AI traveller

Artificial intelligence is no longer a futuristic concept in tourism. It is already influencing customer behaviour across the travel chain.

Airlines are using AI for dynamic pricing and customer service automation. Hotels are deploying AI-driven recommendation engines and virtual assistants. Tour operators are experimenting with conversational booking systems that can plan entire trips based on a few prompts.

For travellers, this means fewer hours spent comparing websites and more instant, tailored responses.

But the same technology creating convenience is also intensifying competition. If every platform can generate similar itineraries and recommendations, differentiation becomes harder.

In an AI-driven marketplace, simply selling flights and hotel rooms is no longer enough.

Why trust becomes the new currency

As AI-generated travel advice floods the market, trust is emerging as one of the industry’s most valuable assets.

Algorithms may recommend destinations based on trends and data, but travellers still seek reassurance when spending significant amounts of money or navigating unfamiliar destinations. Human expertise, local knowledge, and problem-solving remain difficult to automate fully.

This is especially true during disruptions — flight cancellations, weather events, visa complications, or political instability — where travellers often need judgement, not just information.

Industry experts argue that the winning travel brands will be those that combine AI efficiency with human insight. Technology may handle the routine, but people still matter when experiences become emotional, expensive, or unpredictable.

Travel agents face a defining moment

For travel agents and tour operators, AI presents both a challenge and an opportunity.

Businesses that resist digital transformation risk becoming invisible in an increasingly automated marketplace. But those that embrace AI as a support tool rather than a threat could become more competitive.

Many agencies are already using AI to streamline operations, improve customer communication, automate repetitive tasks, and deliver faster responses.

The advantage lies in using technology to enhance service rather than replace it.

Instead of spending hours manually building itineraries, agents can focus on personalization, customer relationships, and handling complex travel needs — areas where human value remains strongest.

The battle for visibility

Another major shift is how travellers discover travel products in the first place.

Traditionally, companies competed through websites, advertising, and search engine rankings. But AI assistants are increasingly acting as intermediaries between travellers and travel brands.

If travellers begin relying on AI tools to choose destinations, hotels, or airlines, companies may lose direct control over customer relationships. In effect, AI could become the new “gatekeeper” of travel discovery.

That possibility is forcing brands to rethink marketing strategies, customer engagement, and digital visibility.

A more connected — but more competitive — future

The integration of AI into travel is expected to accelerate over the coming years, reshaping everything from booking behaviour to customer expectations.

Yet despite the rapid technological shift, one reality remains unchanged: travel is ultimately a human experience.

People may use AI to plan journeys faster, but they still value authenticity, reassurance, emotional connection, and expertise that goes beyond data.

For the travel industry, the future may not belong entirely to machines or humans alone — but to businesses that can combine both effectively.

Source : consultancy.uk

Visa-Free Travel and Open Skies Dominate Discussions at IATA Focus Africa Aviation Summit

At the IATA Focus Africa Conference held in Addis Ababa, Charles Gakuu, the Managing Director of the Air  Travel and Related Studies Centre in Nairobi, called on African policymakers to implement critical reforms that could reshape the continent’s aviation landscape. Addressing the conference delegates, Gakuu highlighted two transformative ideas: visa-free movement across African countries and the full liberalization of airspace under the Single African Air Transport Market (SAATM). These measures, according to Gakuu, would be vital to unlocking Africa’s tourism potential and improving regional connectivity.

The expert’s remarks resonated with many in the audience, especially travel professionals across sub-Saharan Africa, who have long been frustrated by the visa barriers that hinder the ease of travel. Despite the continent’s geographical proximity, shared cultural ties, and common interests, African citizens often face significant challenges when traveling to neighbouring countries. This fragmented approach, according to Gakuu, is hindering the growth of both leisure tourism and business travel within the region, presenting a stark contrast to other regions like Europe, where Schengen Area countries enjoy seamless travel across multiple nations.

Visa-Free Travel: A Key Step Toward Regional Integration

Gakuu passionately argued that requiring visas for travel between neighbouring African countries no longer makes sense in today’s globalized world. He pointed out that as the world increasingly embraces regional integration, Africa must follow suit by removing visa barriers that limit free movement. He cited the European model, where citizens can move freely between Schengen countries without visas, as an example of how such a system could benefit the African continent.

He emphasized that visa-free travel would not only enhance the travel experience for individual passengers but would also significantly benefit Africa’s tourism industry. Many travelers currently face difficulties planning multi-destination holidays within Africa due to the visa requirements of individual countries. Simplifying travel across the continent would make it much easier for tourists to explore multiple African destinations, helping to foster a more robust tourism ecosystem. This, in turn, would help boost revenue from the tourism sector and create jobs in hospitality, transportation, and other travel-related industries.

For African airlines, Gakuu’s call for visa-free movement represents an opportunity to expand their route networks, encouraging cross-border travel that is essential for regional economic growth. He also pointed out the significant benefits of multi-destination itineraries, which would become far more practical and appealing to travelers if visa requirements were lifted.

The Need for Open Skies and Liberalized Airspace

Along with the call for visa-free travel, Gakuu also highlighted the importance of further liberalizing African airspace. The Single African Air Transport Market (SAATM), established by the African Union in 2018, aims to improve air connectivity across the continent by removing restrictions on air services. However, Gakuu pointed out that implementation has been inconsistent, and many African nations have yet to fully embrace the benefits of open skies.

Liberalizing airspace would allow African airlines to compete more freely, leading to increased connectivity, more affordable fares, and greater operational efficiency. Open skies would enable airlines to introduce new routes, offer more flight frequencies, and respond more effectively to customer demand. For passengers, this would result in increased travel options, better pricing, and improved access to destinations across the continent.

Gakuu praised Ethiopian Airlines, which has long been a leader in African aviation, for its successful network expansion. Ethiopian Airlines’ ability to connect Addis Ababa to a wide range of global destinations, including São Paulo, Chicago, and Milan, serves as an example of how an African airline can thrive with open skies policies. The airline’s extensive network, coupled with its modern fleet and strategic investments, makes it a critical hub for intercontinental travel, offering seamless connections between Africa, Europe, Asia, and the Americas.

Ethiopia as a Role Model for Regional Cooperation

During his speech, Gakuu also lauded the impressive development of Addis Ababa as an emerging aviation hub. Over the past few decades, Ethiopia has invested heavily in its infrastructure, including modern transport systems, and has positioned itself as a major player in global aviation. Gakuu pointed out the electric rail transport and expanded road networks in Addis Ababa, which have greatly improved connectivity and access to the airport.

Moreover, Gakuu praised Ethiopia for its commitment to developing hospitality infrastructure to support its growing aviation sector. Ethiopian Airlines has diversified into the hotel industry, offering high-quality accommodations for transit passengers. This integrated approach, combining aviation and hospitality, is a strategy that other African carriers might look to replicate.

The success of Ethiopian Airlines and the development of Addis Ababa into an aviation hub serve as inspirational examples for other African countries, demonstrating what can be achieved through strategic investment, regional cooperation, and a focus on sustainable growth in the aviation and tourism sectors.

Kenya’s Visa-Free Access to Ethiopia: A Positive Example

One positive development highlighted by Gakuu is the visa-free access that Kenya enjoys with Ethiopia. This bilateral agreement, which allows citizens of both countries to travel freely without the need for a visa, serves as an example of successful regional cooperation. Gakuu’s experience of being processed through the border within five minutes, with no additional questions, highlights what efficient border management can look like when political will exists to support it. He used this as a model for other African nations to consider, emphasizing that visa-free agreements can facilitate smoother travel and foster greater connections between neighboring countries.

Conclusion: A Vision for the Future of African Travel

The future of African tourism and aviation, according to Gakuu, depends on removing artificial barriers that restrict the movement of people across the continent. Visa-free travel and open skies policies are key to unlocking Africa’s full potential as a global tourism and business hub. As countries across Africa embrace these reforms, airlines, travel businesses, and passengers will all benefit from greater connectivity, lower costs, and improved services.

The IATA Focus Africa Conference proved to be an ideal setting for Gakuu’s remarks, with a gathering of industry leaders ready to push for reforms that can reshape African air travel. For those involved in the African travel industry, the message is clear: the future of tourism in Africa will depend on greater openness and regional collaboration. Those airlines and countries that are willing to embrace these changes will likely capture the greatest share of growth in the years ahead.

Source: travelandtourworld.com

KATA Coast Members Strengthen Regional Ties at Uganda Cultural Exhibition

As the tourism industry continues to evolve, the need for stronger partnerships and regional collaboration has become increasingly clear. In Kenya’s Coast region, this shift is reflected in the growing momentum of the Kenya Association of Travel Agents Coast chapter, where members are actively seeking new networks, products, and cross-border opportunities to drive growth.

This spirit of collaboration was evident as KATA members turned up for the Uganda Cultural Exhibition held on May 2 in Mombasa.

Hosted at Fort Jesus Gardens, the event brought together tourism stakeholders, airlines, and cultural groups, creating a vibrant platform for regional engagement and exchange.

During the exhibition, members engaged with key industry players including Safarilink Aviation and Uganda Airlines, alongside destination marketing bodies such as the Kenya Tourism Board and Explore Uganda.

The cultural showcase featured traditional institutions including the Buganda Kingdom and Bunyoro Kingdom, among other exhibitors, highlighting Uganda’s rich heritage and diverse tourism offering.

Beyond the cultural displays, the exhibition presented practical opportunities for travel agents, who were able to build connections with partners offering pilgrimage travel, farm-based tourism experiences, and escorted visitor programmes.

Industry stakeholders continue to emphasize the importance of such platforms in strengthening regional tourism linkages, particularly as East Africa positions itself as a more integrated and experience-driven destination.

For KATA Coast members, the event reinforced a growing reality — that collaboration, not competition, will define the next phase of tourism growth in the region.

UAE lifts all air traffic restrictions introduced since Iran war

The United Arab Emirates has lifted all flight restrictions put in place since the start of the United States and Israel’s war on Iran, the country’s civil aviation authority has announced.

All air operations have returned to “normal status” in UAE airspace, the General Civil Aviation Authority said in a statement on Saturday.

“Our decision came following a comprehensive assessment of operational and security conditions, in coordination with the relevant authorities”, the aviation authority said in a post on X, adding that it would continue monitoring the situation.

The announcement marks a significant milestone for UAE hubs Dubai, home to the world’s busiest airport for international passengers, and Abu Dhabi, which have been operating under restrictions since late February.

The US-Israel war on Iran has caused major disruption to aviation across the Middle East, with Tehran’s retaliatory strikes on Gulf countries forcing the closure of large portions of the region’s airspace.

As well as dealing a blow to a region that is striving to lessen it economic dependence on fossil fuels, the upheaval has restricted the number of routes available to air carriers operating long-haul flights between Europe and Asia.

At least eight states announced full or partial airspace closures, including the UAE, Iraq, Jordan, Qatar, Bahrain, and Kuwait.

UAE carriers Emirates and flydubai temporarily halted all operations, while Etihad suspended all departures from Abu Dhabi.

More than 11,000 flights in and out of the region were cancelled in the opening days of the conflict, according to aviation data firm Cirium.

The UAE declared a “temporary and partial” closure of its airspace at the beginning of the conflict in late February, before announcing a gradual reopening in March.

During the UAE’s partial resumption of air traffic between March 1 and 12, the country’s airports handled 1.4 million passengers and recorded 7,839 air traffic movements, while its national carriers saw their operations recover to 44.6 percent of normal levels.

A Pakistan-brokered ceasefire last month brought the conflict to a halt, paving the way for Saturday’s announcement.

Signs of a broader regional aviation recovery are emerging.

Qatar Airways on Saturday separately confirmed that it would resume flights to three Iraqi cities from May 10, after previously announcing plans to serve more than 150 destinations across six continents from mid-June.

Source : aljazeera.com

If it flies, tax it: The growing costs of aviation in Africa

Air travel in Africa remains among the most expensive in the world — not for lack of demand, but because of the growing weight of taxes and charges imposed on the sector.

Across the continent, passengers are paying far more than the cost of flying itself. Industry data shows that a typical international departure from Africa attracts an average of 3.5 separate taxes and charges, amounting to about $68 per ticket, more than double what travellers pay in regions such as Europe and the Middle East.

In some countries, these levies can climb dramatically higher. Certain airports charge close to $300 in taxes and fees on a single ticket, significantly inflating the overall cost of travel.

A continent priced out of the skies

The cumulative effect is stark. Taxes and fees can account for over 35% of the total ticket price — and more than half of the cheapest base fares.

For many Africans, this effectively prices air travel out of reach, reinforcing the perception that flying is a luxury rather than a necessity. This is despite aviation playing a critical role in connecting a vast continent with limited rail and road alternatives.

The paradox is clear: demand for air travel is rising, yet affordability continues to lag behind.

Airlines squeezed by high operating costs

For airlines, the pressure is equally severe. African carriers operate in one of the most expensive aviation environments globally.

Taxes and charges alone are estimated to be 12% to 15% higher than the global average, while fuel costs are about 17% higher and navigation fees roughly 10% above international benchmarks.

These structural costs leave airlines with thin profit margins, limiting their ability to expand routes, increase frequency, or lower fares.

The result is a self-reinforcing cycle: high costs lead to high ticket prices, which suppress demand, which in turn constrains growth.

Fragmented skies, limited connectivity

Despite its size and population, Africa remains one of the least connected aviation markets globally. Only about 19% of routes within the continent are direct, forcing travellers into longer, more expensive journeys.

At the same time, regions with the highest taxes tend to record the lowest traffic volumes. West and Central Africa, for instance, account for just 23% of total air traffic, despite imposing some of the highest aviation charges.

The economic consequences extend beyond airlines. Expensive and limited connectivity affects tourism, trade, and investment — sectors heavily reliant on efficient air transport.

A revenue strategy with long-term costs

Governments across Africa have increasingly turned to aviation as a source of revenue, introducing or raising taxes to meet fiscal pressures.

But industry bodies warn this approach may be counterproductive. High taxation reduces passenger numbers, weakens airline performance, and ultimately limits the broader economic benefits aviation can generate.

Aviation already supports an estimated $72 billion in GDP and 6.8 million jobs across Africa, underscoring its role as a key economic enabler.

Reducing the cost of flying, analysts argue, would stimulate demand, increase connectivity, and unlock significantly greater economic returns.

Calls for reform

Pressure is mounting for governments to rethink their approach. Industry stakeholders are calling for:

  • Rationalisation of taxes and fees
  • Greater alignment with global aviation standards
  • Investment in efficient airport infrastructure
  • Policies that prioritise connectivity over short-term revenue

The argument is not to eliminate taxes altogether, but to strike a balance that allows the sector to grow sustainably.

The bottom line

Africa’s aviation market is one of the fastest-growing globally, with long-term passenger demand expected to rise steadily. Yet without structural reforms, that growth risks being constrained by the very policies meant to generate revenue.

For now, the reality remains unchanged: in Africa, if it flies, it is taxed — and often heavily.

source : theeastafrican.co.ke

What travel agents know that Google & AI don’t

You’ve got 47 tabs open. TripAdvisor, Booking.com, cruise comparison sites, and airline alerts. Your Notes app is overflowing with copied links and half-formed itineraries. Three hours in, you’re somehow more confused than when you started.

Sound familiar?

Today, most travellers book their own holidays. We’ve mastered the mechanics of online booking, but there’s a catch: a large majority still worry about making costly mistakes — choosing the wrong flight time or date, overpaying, ending up with questionable accommodation, or locking themselves into non-refundable deals they can’t use. That’s where a good travel agent quietly proves their worth.

Like the doorway you’d walk straight past

Search engines will point you to the obvious — iconic landmarks, top-rated attractions, and heavily reviewed experiences. But they rarely uncover the places that don’t advertise themselves well: the tucked-away, locally known, genuinely memorable spots that never trend online.

That kind of knowledge doesn’t come from algorithms. It comes from years of travelling, building relationships on the ground, and knowing which experiences are truly special — and which ones are simply well-marketed.

The scams your research might not catch

Even experienced travellers can fall for increasingly sophisticated online scams. A picture-perfect lodge, a polished website, convincing email exchanges — everything can look legitimate until it isn’t.

Without direct verification channels or industry networks, it’s difficult to spot the red flags. Some listings may represent properties that no longer exist, have changed ownership, or were never real to begin with.

Travel agents operate within trusted ecosystems. They have access to verified operators and tourism bodies, allowing them to confirm what’s real — and what isn’t — before money changes hands.

When curation beats endless options

The average traveller now spends hundreds of hours consuming travel content before making a booking. Ironically, more information often leads to more uncertainty.

At some point, endless choice becomes overwhelming. Reviews blur together. Recommendations conflict. Decision fatigue sets in.

This is where human curation matters. Instead of presenting more options, a travel agent filters them — tailoring choices to specific needs, whether that’s mobility considerations, medical requirements, dietary restrictions, or family logistics. These are nuances algorithms often overlook.

Your lifeline when things go wrong

Booking online works — until it doesn’t.

A missed connection, a cancelled flight, a non-refundable booking that suddenly needs to change. Hours spent on hold. Emails that go unanswered. Now imagine that situation unfolding during an actual emergency — extreme weather, political unrest, or unexpected disruptions abroad.

In those moments, having someone who can act on your behalf makes all the difference. While you focus on your immediate situation, they’re coordinating solutions — rebooking flights, securing refunds, arranging assistance — often faster than you could on your own.

Without that support, you’re navigating the chaos alone.

The extras that don’t show up in search results

Not every unforgettable travel moment can be searched for. Some of the best experiences are the ones you didn’t know to ask for.

A perfectly timed dinner with the best view in the city. A behind-the-scenes experience unavailable to the public. A surprise moment that turns a trip into a lifelong memory.

These details aren’t accidents. They’re the result of connections, foresight, and an understanding of what elevates a trip from ordinary to exceptional.

So, can you book everything yourself? Yes.

But the real question is whether you should.

Because beyond the convenience of clicking “book now,” there’s a layer of insight, protection, and personalization that technology hasn’t quite mastered — the kind that spots risks before they happen, finds what others miss, and steps in when things don’t go to plan.

Your browser tabs can wait.

Source: escape.com

African governments need to prioritise aviation for economic growth

The International Air Transport Association (IATA) has called on African governments to prioritise aviation as a strategic enabler of economic and social development, highlighting its role in supporting long-term growth across the continent.

Kamil Alawadhi, Regional Vice President for Africa and the Middle East at IATA, said: “Aviation is economic infrastructure for Africa. Its value lies in the long-term benefits it delivers. An aviation strategy focused on safety, cost-competitiveness, energy security/sustainability, and ease of doing business will create jobs, enable trade, support tourism, and further regional integration. The prosperity this generates will allow governments to push forward social and economic development more durably than any tax that might be collected from travelers.”

Speaking at the Focus Africa Conference in Addis Ababa, Ethiopia, IATA outlined a comprehensive aviation strategy built around four key pillars: safety, cost competitiveness, ease of doing business, and sustainability.

On safety, Africa has recorded progress, with the accident rate declining from 12.13 to 7.86 per million sectors between 2024 and 2025. However, this remains above the global average of 1.32 and is the highest among all regions. IATA called for increased implementation of ICAO Standards and Recommended Practices, improved publication of accident reports, and wider adoption of global safety audits to strengthen regulatory oversight and operational performance.

Cost competitiveness remains a significant challenge, with aviation-related taxes and charges in Africa approximately 15% higher than the global average. IATA highlighted the need to reverse increasing API-PNR charges, implement the ECOWAS decision to reduce aviation taxes and charges, and maintain residence-based corporate taxation for airlines to avoid double taxation and support cross-border operations.

Ease of doing business was identified as another critical area, particularly regarding the repatriation of airline revenues and visa policies. As of the end of March 2026, African countries accounted for USD 774 million in blocked airline funds globally. Algeria holds the largest share at USD 258 million, followed by the XAF Zone, Mozambique, Eritrea, and Angola.

“Given the scale of funds blocked in Algeria, urgent and decisive government action in Algeria is essential. But our efforts to engage with the Ministry of Trade and Export Promotion and the Central Bank have received little response, and airlines continue to face delays despite complying with burdensome requirements. In Algeria, and all locations where airlines are denied access to their revenues, governments must engage with the industry to find a sustainable solution or risk the consequences on connectivity,” said Kamil Alawadhi.

IATA also noted that nearly half of intra-African travel still requires visas before departure, limiting regional mobility and tourism growth. Markets that have eased visa requirements have experienced stronger demand and increased use of regional air services.

On sustainability and energy security, IATA highlighted opportunities linked to Sustainable Aviation Fuel (SAF) production. Sub-Saharan Africa has the potential to supply up to 106 million tonnes of SAF feedstock by 2050, primarily from agricultural residues, forestry waste, and municipal solid waste. The association also pointed to the potential for African countries to supply 57.6 million Eligible Emission Units under CORSIA. However, only a limited number of countries have taken initial steps to participate.

IATA emphasised that aligning sustainability strategies with global frameworks, alongside targeted investment in infrastructure and policy support, could enhance energy security, generate employment, and strengthen the region’s role in the global aviation value chain.

Source; traveldailynews.com

IATA launches pilot Billing & Settlement Plan in Somalia

The International Air Transport Association (IATA) has launched a trial run of its Billing and Settlement Plan (BSP) in Somalia, with a full rollout expected by the end of May 2026.

This move aligns with Somalia’s efforts to strengthen its aviation industry and improve international connectivity. Rising demand for air travel, driven by the global diaspora and expanding trade ties across Africa and the Middle East, has made improvements to financial and operational systems increasingly important.

The pilot program includes four travel agents and several airlines operating in Somalia, including Ethiopian Airlines. In May 2026, the BSP is expected to be open to all airlines and to over 300 travel agents in the country.

The BSP is a global system that streamlines financial transactions between airlines and IATA-accredited travel agents. It centralizes ticket sales reporting and payments, helping airlines manage revenue more efficiently, improve cash flow, and maintain strong financial oversight in line with established standards and local regulations. In 2025 alone, the system processed more than 700 million transactions across more than 180 countries, totaling 242 billion US dollars.

Somalia’s Minister of Transport and Civil Aviation, Mohamed Farah Nuh, characterized the initiative as a significant advancement in the country’s aviation development.

“Somalia stands at a pivotal moment of transformation in its aviation sector. Growing connectivity regionally and globally underpins our ambition to revitalize the economy of Somalia and position Mogadishu as a transport hub on the Horn of Africa. Despite decades of adversity, the federal government has made commendable strides in rebuilding and modernizing every aspect of its civil aviation system. This extends to putting in place financial systems to support the growth of air transport, which the opening of the BSP will provide,” said Mohamed Farah Nuh.

Kamil Alawadhi, IATA’s Regional Vice President for Africa and the Middle East, commended Somalia’s efforts toward modernization.

“We commend the steps taken by the Somali government to modernize and rebuild its aviation infrastructure. The government recognizes the significant economic benefits that air travel can deliver, and we are pleased to support them on that journey. Accelerating the implementation of secure, effective, and cost-efficient financial services is a key pillar of IATA’s Focus Africa initiative,” said Kamil Alawadhi.

Source: qazinform.com