Business Traveler Anxieties Ripple Across Eastern Europe 

As the number of refugees escaping the war in Ukraine tops four million, surpassing even the United Nations’ worst-case prediction, many businesses operating in the region are working out their next set of contingency plans.

The number of “what if” questions is on the rise, partly because of the uncertainty surrounding ongoing peace talks.

“Over the last 48 hours, there has been a marked change of tone from Russian state-affiliated media outlets, indicating that the Kremlin may actually be serious about changing its objectives,” noted international security company Global Guardian on Wednesday. However, it said Russia will use this time to regroup, reorganize and resupply.

Now one crisis specialist is advising corporate clients on a range of issues, ultimately designed to alleviate stress levels in the face of an expanded geopolitical crisis.

“From our sources, there’s no let-up. It’s more a repositioning, not a withdrawal,” said Julian Moro, senior vice president of security solutions, at risk management company International SOS, which has had a team in Ukraine since January 26.

“While many organizations reduced their exposure to Ukraine, they are thinking about their other populations. What do we tell our employees in other locations to show we are thinking about it, that we have done some contingency planning.”

Perception Versus Reality

That planning has become more difficult for many companies after their crisis teams battled the pandemic for long periods. “There are two things about Covid. One positive is that a lot of companies now have crisis teams, whereas they didn’t pre-Covid,” Moro said. “On the flip side, many crisis teams are exhausted after two years of the pandemic.”

International SOS is now advising company bosses and crisis management teams, where perceptions and emotions rather than the reality are coming into play. It’s talking about Russia’s weapon systems, the distances involved, and what’s the doctrine of the Russians when they are in conflict.

“I feel like we’re helping them manage their anxiety in adjacent countries, about the likeness of an escalation, what would that look like, what are the different scenarios,” Moro said.

Meanwhile, more work around mental health support is emerging, with many of International SOS’s clients requesting multi-lingual crisis hotlines for emotional support, for evacuees, their families and staff members.

Global Guardian, meanwhile, continues to operate in Ukraine evacuating employees of American companies and their families. It has so far helped almost 10,000 people to safety, more recently focusing on retrieving valuable physical assets left behind by U.S. companies.

Source: Skift

Liberising African Aviation Must Be Done Faster

34 years ago, a vision was born, known as the Yamoussoukro Declaration, the vision saw a fully liberalized Intra-African aviation industry.

11 years later, the implementation of the decision took flight with the Yamoussoukro Decision.

More than two decades later, the vision remains in the African Union (AU) integration blueprint but time is seemingly running out on the goal for an open aviation market.

The African continental Trade agreement will increase both intro Africa trade and global business.

Restrictions

Pressure to have a liberalised aviation sector has been accelerated over the past couple of years by the emergence of the Covid-19 crisis.

The sector alongside tourism were the first to take damage from the global health crisis and are tipped to be among the last sector’s to fully make recovery from the crisis.

However, air cargo business and aviation logistics increased with vaccine and healthcare products increased cargo trade.

Even so, the impact of the pandemic on aviation has been more profound in Africa than in other parts of the world.

First off, a bias on the imposition of travel restrictions saw travel bans in and out of a majority of African countries.

This heavily impacted continental carriers, which are greatly reliant on the global aviation market with the intra-African market yet to fully mature although budget airlines seem to be growing and making profits.

The lack of a fully mature intra-African aviation industry across the continent, meanwhile returned to bite the continent hard with the limited access of international destinations on the widespread restrictions imposed to greater magnitude on African States.

The African aviation industry would have likely avoided the greater fall out of restriction had it developed its own air travel market and infrastructure and navigation including across the continent having all major airports with global safety standards.

SAATM

The Single African Air Transport Market (SAATM) as envisioned three decades ago as the first flagship project under AU Agenda 2063 must now come into fruition in the short to medium term.

The implementation of the project is expected to flank the successful operation of African Free Continental Trade Area (AfCTA) increase free movement of people, investors and tourists within the continent.

A free air transport market further complements investment, employment, and entrepreneurship to foster, free movement of people and goods and the roll-out of the regional or African passport.

Further journey and wait times for air transport are set to come down by at least one fifth, air fares will fall, there will be competition for air services even as more jobs are created in the sector.

However, the war in Europe and reversed costs of transport as the oil barrel price hit record high above 115 dollars per barrel and still rising.

Today, Africa represents a mere four per cent of global world aviation traffic.

This figure is tipped to top 10 per cent with a fully operational single African air transport market.

A study by the International Air Transport Association (IATA) and the African Airlines Association (AFRAA) on the implementation of SAATM by just 12 countries predicts 1.3 billion dollars GDP increment, fare savings of between 25 and 35 per cent, five million additional air passengers and 155,000 new jobs.

In the rest of the world, the liberalisation of air transport markets in the United States and the Europe has deepened the penetration of air transport while creating large and profitable behemoths.

For instance, airlines in the US and Europe are the most profitable while low cost carriers such as Ryan Air have thrived under the liberalised terms.

Despite it’s limited reach, aviation in Africa still supports and estimated 6.8 million jobs while contributing to 72.5 billion dollars to the continent’s GDP.

The potential for aviation nevertheless remains largely untapped for a continent made up mostly of landlocked countries with relatively inefficient road and rail infrastructure.

Cargo air business remains most profitable and will see the private sector partner with public sectors to provide last mile deliveries which will change air/digital efficiencies and outstanding customer experience right yo your doorstep deliveries.

Without the liberalisation of aviation, Africa risks losing out on social-economic benefits and growth due to lack of connectivity.

However, domestic passenger numbers are growing above pre covid statistics in most countries including Kenya.

International passengers are moving towards records numbers however the numbers are unclear with the effects of the war shooting all transport costs to be expensive.

An elaborate intra-African aviation industry would ensure the resilience of the sector amidst shocks such as the Covid-19 pandemic. Governments and bilateral trade agreements and incentives for airlines fly into Africa will greatly improve in Africa.

Airline partnerships and mergers could bring costs down and improve on experience and end to end air solutions.

The creation of a single aviation market will however require the harmonization of national and regional regulations at the continental level.

This would mean creating liberalized air tariffs, unrestricted frequency and capacity and the full liberalization of cargo services.

Profits

The African aviation industry has struggled to generate consistent profits over the past decade with the only profitable year coming last in 2010.

However, Ethiopian Airlines leading a successful business trend with world class aircraft and infrastructure investments.

The industry features a number of financial beleaguered carriers while some national flag carriers have gone under over a combination of underfunding, unfavourable regulation, wrong business modelling and financial misappropriation and some giving poor customer care.

Other factors bedevilling players in the industry cover high user charges, taxes, inadequate airport infrastructure and insufficient management expertise, terrorism and Ebola or health crisis such covid issues reducing travel business.

Countries such as Uganda and Tanzania are only re-establishing their flag carriers following the collapse of what was the East Africa Airways while Rwanda Airlines and Kenya Airways investing in newer aircrafts and airport developments .

While the US and Europe aviation industries thrive off intra-airline agreements, consolidation and partnership, Africa’s aviation market remains heavily fragmented with greatest potential and seeking, well managed airline partnerships.

The picture is however changing going by recent developments such as last year’s Strategic Partnership Framework which seeks to bring together Kenya Airways (KQ) and South Africa Airways (SAA).

This model of business needs a lot of inter government synergy and consistent world class service, seamless connectivity and competitive affordable transport rates.

The pair of unprofitable carriers which have over the recent past survived on State bailouts seek to establish joint operations in 2023 including common business plans and initiatives.

Such a partnership could very well usher in the next phase of growth for Africa’s aviation industry.

The future of air transport will see more stronger technical ,electrical and robotics both in ground and in the air to take the aviation business to the next level.

The private sector which is the highest number of business both cargo and passengers look forward to open skies regionally and globally. Happy flying wishes.

Source: Capital News

Marketing Pics Don’t Sync With Travelers’ Tastes, Says Getty Images

In 2022, many travelers are re-prioritizing what they want from their vacations. Yet some brands and content marketers rely on out-of-date criteria when selecting images.

Getty Images, the stock footage agency, surveyed about 7,000 Americans to ask about their travel plans.

The company then looked at the visuals selected by many brands in the past year for TV commercials, online display advertising, and content marketing. Some of the choices were out of alignment with consumer preferences at the moment.

“In the next year, people are twice as likely to consider domestic travel than they are to consider a trip internationally,” said Tristen Norman, director of creative insights, Americas.

More than half of Americans surveyed are not planning a foreign trip in 2022, said the so-called VisualGPS results, which Getty Images released on Tuesday.

Cautiousness about foreign travel is significantly higher, on average, among baby boomers than among millennials. That’s a problem for the travel industry because baby boomers tend to travel longer and spend more.

Only 14 percent of surveyed consumers are planning an expensive dream trip this year.

Yet many brands are still using images that represent lavish international journeys, despite a common interest in staying close to home — and a shift in how travelers have begun to represent themselves on social media platforms Instagram and TikTok.

In the survey, the most-mentioned purpose for travelers in 2022 across age groups was social connection.

About 40 percent of travelers are prioritizing trips to see loved ones and friends this year, the survey found.

Norman recommended that brands opt for people-centered shots rather than people-less landscapes.

“Before the pandemic, people were really focused on what we call ‘Instagram envy,’” Norman said, with a frequent focus on recreating places and experiences they had seen others post on social media.

Now, social re-connection along with cultural discovery are surfacing.

Imagery showing social connection may resonate much better than the pre-pandemic mainstays of images of solo travelers shot from behind with an exotic or food item destination foregrounded instead.

Outdoor-themed vacations also are remaining highly popular in 2022, continuing a two-year boom. But many brands are instead this year showing images in cities.

Norman noted that all types of Americans visit outdoor destinations and that outdoor imagery doesn’t have to be of white families only.

Asian people, for example, are seen seven times less than whites, and Hispanic people are seen 10 times less, in imagery that has an outdoor travel theme.

One bright spot was that marketers were gravitating toward road trips, an idea that is, in fact, top-of-mind with many consumers now.

“We see growth in all types of road trips,” Norman said. “To us, that’s a clear indicator that there is some understanding of the ways in which most consumers are approaching their travel plans.”

But on the downside, there was a decline in the past couple of years of brands choosing travel images that represent what Norman called “micro-cultures,” or diverse activities beyond mainstream attractions like American football.

In positive news, the use of travel imagery including African Americans is up 18 percent over two years, though admittedly that was from a low base relative to population share.

Source: Skift

Covid-19 Presented an Opportunity to Rethink Tourism, Industry Players Say

Covid-19 Presented an Opportunity to Rethink Tourism, Industry Players Say

Various stakeholders in the tourism sector have said that Covid-19 presented a major opportunity to rethink the industry and be more innovative despite the numerous challenges it brought.

Speaking at a roundtable discussion during the rebrand of Express Travel Group (ETG) to Hemingways Travel, Tourism CS Najib Balala noted that the Covid-19 pandemic presented an opportunity for industry players to think out of the box since it wasn’t things as usual.

“Technology innovation and collaboration enabled the tourism sector to ride the difficult Covid period and this should be the trend going forward,” Balala said.

According to Hemingways Travel MD Joseph Kithitu, the pandemic revealed that things can happen outside of your plans and that shows you need a serious travel back up to maintain your movement.

“Covid-19 didn’t come to kill travel or business, it came in to bring a new shift that people want to travel safe, in an organized way and that’s what we are bringing to the table with this rebrand,” said Kithitu.

Balala noted that innovation, digitization, and expansion to leisure travel is a sure win for Hemingways Travel and any other sector players looking to thrive in the tourism and travel sector as the industry continues to recover.

“Covid-19 gave us an opportunity to leapfrog to technology, the Hemingways travel is a testament to what we need to do as businesses, which is to rethink your business model on how to create better connections with your customers,” said Agnes Mucuha, CEO Kenya Association of Travel Agents(KATA).

The tourism industry was one of the most hit sectors by the pandemic with almost 1 million jobs lost according to industry data.

Even so, the industry is steadily recovering with the country’s tourism earnings growing by 65.4 per cent to Sh146.51billion in 2021 compared to Sh88.56billion in 2020.

This has been credited to the implementation of various interventions by the government to mitigate the effects of the pandemic on the sector, including a focus on domestic tourism.

Balala noted that despite the improvement, the industry had not recovered properly and much is needed from airline connectivity to affordability of products to ensure a full recovery.

“For 2022, we are hoping to surpass the 2021 revenues we don’t just want numbers,” Balala said.

According to the Annual Tourism Sector Performance Report 2021, new vision strategies such as digitization have supported sector recovery and Hemingways Travel has made significant enhancements to its platform to meet changing industry needs.

Source: Capital FM

CDC drops its COVID-19 risk advisory for cruise ship travel

The Center for Disease Control and Prevention has lifted its risk advisory for cruise ship travel Wednesday following two years of issuing warnings to travelers about the possibility of contracting COVID-19 onboard a cruise.

In an update posted online, the agency removed its “Cruise Ship Travel Health Notice,” a notice that recommended individuals against traveling onboard cruise ships. Three months ago, the CDC increased its travel warnings for cruises to Level 4 — the highest level — following investigations of ships that had COVID outbreaks.

While the CDC has lifted its travel health notice, officials say it’s up to the passengers to determine their own health risks before going onboard a cruise ship.

“While cruising will always pose some risk of COVID-19 transmission, travelers will make their own risk assessment when choosing to travel on a cruise ship, much like they do in all other travel settings,” the agency said in a statement to NPR.

The agency says it will continue to provide guidance to the cruise ship industry in order for cruise lines to operate in a way that will provide “safer and healthier” environments for crews, passengers and communities.

News of the CDC’s decision to remove its travel health notice was praised by the Cruise Lines International Association, the industry’s largest trade organization.

“Today’s decision by the U.S. Centers for Disease Control and Prevention (CDC) to altogether remove the Travel Health Notice for cruising recognizes the effective public health measures in place on cruise ships and begins to level the playing field, between cruise and similarly situated venues on land, for the first time since March 2020.

From the onset of the pandemic, CLIA’s cruise line members have prioritized the health and safety of their guests, crew, and the communities they visit and are sailing today with health measures in place that are unmatched by virtually any other commercial setting.”

The CDC emphasizes that travelers should make sure they’re up to date with their COVID-19 vaccines before taking a cruise, in addition to following their ship’s requirements and recommendations against the virus.

Travelers are urged to check their cruise ship’s COVID case levels and vaccination requirements online before traveling, the agency says.

Source: NPR

What You Need To Know About IATA’s New CO2 Calculation Method

The International Air Transport Association (IATA) announced the launch of its Recommended Practice Per-Passenger CO2 Calculation Methodology. This is the first tool of its kind developed by aviation industry actors and uses verified airline operational data to calculate and quantify CO2 emissions per passenger for a specific flight.

Airlines collaborating on calculations

How often are you prompted by airlines to offset your CO2 emissions? Often the choice is hidden away somewhere, and without the customer’s active participation, the little voluntary box to tick can be hard to locate. Even those who include the option on the booking details page do not tell you how much of ‘your’ generated emissions you are actually contributing to offsetting.

For those significantly invested in flying with a slightly greener conscience, there are, of course, already services out there that will allow you to calculate CO2 contributions on everything from dietary choices and daily commute, a long-haul flight to Asia, or a regional hop to go home and see your parents for Easter.

However, the measurements are quite generic and do not take into account the different efficiency of aircraft types, actual weight, cargo in the belly, or the recent addition of sustainable fuels. IATA’s new measurement system takes into account several industry-specific factors. Willie Walsh, IATA’s Director General, commented,

“Airlines have worked together through IATA to develop an accurate and transparent methodology using verified airline operational data. This provides the most accurate CO2 calculation for organizations and individuals to make informed choices about flying sustainably. This includes decisions on investing in voluntary carbon offsetting or sustainable aviation fuel (SAF) use.”

Measurable parameters

The methodology upon which IATA‘s calculations are based takes the following factors into account:

  • Guidance on fuel measurement, aligned with the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA)
  • Clearly defined scope to calculate CO2 emissions in relation to airlines’ flying activities
  • Guidance on non-CO2 related emissions and Radiative Forcing Index (RFI)
  • Weight-based calculation principle: allocation of CO2 emission by passenger and belly cargo
  • Guidance on passenger weight, using actual and standard weight
  • Emissions Factor for conversion of jet fuel consumption to CO2, fully aligned with CORSIA
  • Cabin class weighting and multipliers to reflect different cabin configurations of airlines
  • Guidance on SAF and carbon offsets as part of the CO2 calculation
  • Tool for airlines, travel agents, and travelers

So more than simply allowing passengers to calculate their CO2 emissions to offset them accurately, the tool could be used to compare different flights of different airlines to see which option is the most sustainable to begin with. Mr Walsh further commented,

“The plethora of carbon calculation methodologies with varying results creates confusion and dents consumer confidence. Aviation is committed to achieving net-zero by 2050. By creating an accepted industry standard for calculating aviation’s carbon emissions, we are putting in place essential support to achieve this goal. The IATA Passenger CO2 Calculation Methodology is the most authoritative tool and it is ready for airlines, travel agents, and passengers to adopt.”

Source: Simple Flying

ATM 2022: Dubai prepares for return of Arabian Travel Week

RX Global has unveiled plans for Arabian Travel Week, a series of digital and in person events in Dubai this spring designed to foster a recovery in the hospitality sector.

At the centre will be Arabian Travel Market, the leading trade show in the Middle East, which will focus on the future of international travel.

Delegates will examine the likely challenges ahead for the sector, while looking at how to build resilience in an industry that is still coming to terms with the “new normal”. 

“Covid-19 has dominated our lives since March 2020 and continues to do so in many parts of the world.

“However, although international travel and tourism has learnt from past experiences and adapted in some cases almost seamlessly, we now have an ideal opportunity to look ahead to the future of our industry.

“Dwelling too much on the pre-covid past, would not necessarily be productive, especially because so many industry parameters and social attitudes have since been completely reset,” said Danielle Curtis, exhibition director, Middle East, Arabian Travel Market.

Working in collaboration with the Dubai World Trade Centre (DWTC) and the Dubai Department of Tourism & Commerce Marketing (DTCM), the event will take place live and in-person from Monday, May 9-11.

In similar fashion to the 2021 format, a virtual edition will again take place the following week on May 17-18.

“Undoubtedly innovation through internet of things, artificial intelligence, virtual reality and improved connectivity overall, will change the face of our industry dramatically, however, there are other challenges, that we should address together and share industry best practice.

“These issues include climate change and broader social challenges, as well as stakeholder attitudes towards equity in health, education and economic opportunity, particularly in the communities that we operate in,” added Curtis. 

Show highlights in 2022 will include, among others, destination summits focused on key source markets in Saudi Arabia, China and India, as well as Travel Forward, the leading global event for travel technology which puts a spotlight on the latest, next generation technology for travel and hospitality.

There will also be ATM buyer forums and speed networking events, as well as Arrival Dubai @ ATM – a dedicated in-destination forum.

ATM 2022 will also host dedicated conference summits on the Global Stage, covering aviation, hotels, sports tourism, retail tourism and a special hospitality investment seminar.

The Global Business Travel Association (GBTA), a business travel and meetings trade organisation, will once again be participating at ATM.

The GBTA will deliver the latest business travel content, research and education to drive the recovery and support growth in business travel.

ATM will play an integral role in Arabian Travel Week, a festival of events dedicated to travel professionals from all over world, to collaborate and shape the recovery of the Middle East travel industry, through exhibitions, conferences, breakfast briefings, awards, product launches and networking events

Given the global travel and social restrictions, the ATM 2021 live, and in-person event was well received, with over 21,600 attendees from 110 different countries.

During the virtual event, 30,790 profiles were registered on the ATM Virtual platform, almost 20,000 face-to-face virtual meetings took place and there were over 6,600 conference views.

Putting those figures into context, ATM which is often considered by industry professionals as a barometer for the Middle East and North Africa tourism sector, welcomed almost 40,000 people to its 2019 event with representation from 150 countries.

As the build-up to the largest travel trade show in the Middle East continues, Arabian Travel Market has been producing a series of encouraging reports, suggesting the worst of the pandemic may be over in the region.

Most recently, there was confirmation hotel development is continuing apace.

Despite the pandemic headwinds that the global hospitality industry has had to contend with, new hotel development in prime spots in Saudi Arabia, Qatar, Oman and the UAE is robust.

According to new research commissioned by Arabian Travel Market and conducted at the end of 2021 by hotel market intelligence and global benchmarking company STR, Makkah and Doha are both expanding their hotel room inventory by 76 per cent.

This is followed by Riyadh, Medina and Muscat with 66 per cent, 60 per cent and 59 per cent growth respectively.

In Dubai, rooms growth stands at 26 per cent, which is still “extraordinary,” researchers said, considering its existing base and following years of continuous hotel development.

The figure is still more than double the global average.

Curtis added: “With the global average sitting at 12 per cent we are witnessing multiple GCC destinations growing at six times those rates.

“These figures coupled with the ongoing relaxation in travel restrictions, will undoubtedly encourage travel professionals throughout the Middle East and further afield.

“As such we are expecting a substantial increase in the number of participants at our live event this year, especially Saudi Arabia, Qatar, Oman and the UAE.”

There were also green shoots of recovery in the business travel sector.

Business travel expenditure in the Middle East is forecast to rise by a third this year, following a predicted 49 per cent increase during 2021.

That is according to a report by the World Travel & Tourism Council (WTTC) published in November.

Curtis said: “This positive data will provide a welcome boost for business travel and tourism professionals throughout the Middle East region, as economies around the world begin to relax travel restrictions, despite the disruption caused by the outbreak of the Omicron variant.

“During 2021, the increase in business spending for the full year is expected to have actually outpaced spending on leisure travel by 13, ten and one per cent in the Middle East, Europe and Africa respectively.”

Source: Breaking Travel News

RwandAir: Pandemic offers new chance to gain market share

Yvonne Manzi Makolo, CEO of RwandAir, says that the company, now 49% owned by Qatar Airways, is looking beyond the pandemic to exploiting Africa’s huge aviation potential.

How has the Covid-19 pandemic affected your expansion plans and your medium- to long-term strategy?

We had a lot of momentum in the lead-up to the pandemic. We were expanding and had 29 routes running and more planned, both within and beyond Africa, but when Rwanda went into lockdown, we had to shelve most of these plans.

Rwanda closed off its airspace to commercial flights between March and August 2020, so we had to ground our fleet and re-evaluate our business model. The government of Rwanda has taken the pandemic very seriously, but has been very supportive of affected businesses, including those in aviation. Our staff were considered front-line workers, so we were able to get everyone vaccinated quickly.

We were able to operate cargo-only flights to support the export sector, as well as bringing in medical supplies like PPE. We converted our cabins to allow us to transport high-value exports like avocados, chillis, French beans, and flowers to lucrative markets in Europe and the Gulf.

We also carried out several repatriation flights, mainly to and from Europe, North America, and China, not just for Rwandans but also for citizens of other Central African counties.

By the time we resumed commercial flights in August 2020 we had shrunk our network to remove less profitable routes, including to Senegal, Juba, and Tel Aviv, which have still not been restarted.

Unfortunately, we were also forced to lay off some staff, though we have started rehiring them now. We had to cut back on in-flight services to focus more on safety and security procedures, which was obviously our priority.

We were on the road to recovery when the Omicron variant was recognised in December 2021, which was peak travel season. That knocked us back again as we had to stop all our Southern African routes, as well as major long-haul flights, to London and Dubai for example.

Now that the Omicron outbreak is being managed things are once again picking up and we are seeing increased passenger numbers. We hope to see consistent improvements between now and the 2022 summer season.

Covid has created challenges, but also opportunities, with SAA’s privatisation and Kenya Airways restructuring its network. How is RwandAir planning to fill new gaps in the market?

We had to pull out of some of our own routes, which other airlines are now eyeing, while we are looking at moving into new routes that have become available and which fit with our location and model.

Africa was already underserved and less connected than it should be, so there are lots of opportunities for airlines to gain market share at the moment. Even during the pandemic, we opened a few new routes.

These included Bangui (CAR), and Goma and Lubumbashi (DRC), which have been doing extremely well since we opened them in 2021. So, we are still working towards our objective of connecting Africans with each other and with the world.

In 2020 it was announced that Qatar Airways was purchasing a 49% stake in RwandAir. What is the state of negotiations, and how will they help RwandAir establish itself as a global airline?

Commercial initiatives, such as codeshares, between RwandAir and Qatar Airways were agreed upon in September 2021 and have been operation since December 2021. These have linked Kigali’s air transport hub with that of Doha, which allows us to expand our network significantly.

We can now reach most of Eurasia, while Qatar can reach most of Africa. Travellers can earn and exchange air miles between loyalty schemes, while we have access to Qatar Airways’ training facilities for pilots and cabin crew.

Qatar Airways has also purchased a 60% stake in Rwanda’s Bugesera International Airport. How does this arrangement benefit both Qatar and Rwanda?

The joint venture is still being worked out but is probably a few months away from being finalised. This will give Rwanda a large, modern airport, which is central to our plans to make Rwanda a transport hub, as well as Qatar’s plans to service the African continent. This will allow Rwand­Air to expand and allow the economy to benefit from ripple effects such as tourism and job creation.

It’s a massive project, around 25km outside Kigali, that is set to grow into an “airport city”, with housing, hotels, and entertainment centres, which presents a world of opportunity to local businesses. The first phase is set to be completed in 2024-25, which will give the airport a capacity of 7m passengers.

The second phase will expand on that, but details are yet to be finalised. The whole project is a good example of the government’s preferred private-public partnership (PPP) model, and there will be opportunities for further PPPs in everything from construction to service provision as the project advances.

How is RwandAir embracing innovation to attract customers and establish itself in the international market?

We are always looking for ways to make travel easier, add value and differentiate ourselves from the competition. We have invested in digitising and automating a lot of things, such as online sales and online check-ins, which has actually been helped by the pandemic and the emphasis that was put on getting things done remotely.

Qatar Airways has always been on the front line of innovation, and Rwanda is a very IT-focused country, so the deal between the two will let us complement each other’s innovative spirit perfectly.

How important is the African Continental Free Trade Agreement (AfCFTA) to Rwand­Air, and what is your role in the promotion of African trade?

The finalisation of AfCFTA will be a game-changer as it will force change across the continental economy, including in aviation. It will become impractical to operate a free trade area without broad “open skies” agreements, inclusive visa policies, and other provisions that will make it easier for people to use our services.

At the moment many barriers still exist across Africa, including complicated visa procedures, inconsistent infrastructure, a lack of ground handling facilities, prohibitively high airport taxes, and unmaintained or unlit runways, all of which have to be addressed before Africa can develop a sustainable and affordable aviation industry.

For AfCFTA’s benefits to be felt in full, governments need to look at the continent holistically and address some of these bottlenecks so that aviation isn’t a limiting factor.

As Rwanda becomes a regional centre for sport, tourism, and the MICE (meetings, incentives, conferences and exhibitions) segment, while promoting travel-friendly policies at home and abroad, AfCFTA presents Rwandans, RwandAir, and our partnership with Qatar with the opportunity to play a crucial role in Africa’s future.

Source: African Business

Ethiopia: Legendary Ethiopian Airlines CEO Tewolde GebreMariam quits after 37 years

The long serving CEO of Africa’s largest airline Ethiopia Airlines has stepped down, citing ill health. Starting at the firm in 1985, he become CEO in 2011. He leaves behind a strong legacy, the envy of other African airlines who struggle to match Ethiopian’s operational efficiency.

Less than 24 hours after the announcement of the resignation of Tewolde GebreMariam, the CEO of Asky Airlines in Togo, Mesfin Tasew, has been appointed to take over as head of Ethiopian Airlines.

His appointment on 24 March, follows the resignation of Tewolde GebreMariam, who took early retirement on March 23 for health reasons.

Tasew will be responsible for the continent’s leading airline, with 130 aircraft covering 120 destinations worldwide.

Tewolde GebreMariam is a towering figure of African aviation, dragging Ethiopian Airlines through a profound modernisation process, and running the state-backed company profitably, in comparison to many continental peers.

“I pay tribute to the work of a man who has led Africa’s largest airline for over 11 years”, says Abdérahmane Berte, head of the African Airlines Association (AFRAA).

“Under his leadership Ethiopian Airlines became the largest African airline. A position maintained for many years”, he says. “For the sake of history I also note the important role of Ethiopian Airlines as one of the founding companies of AFRAA.”

Ethiopian Airlines tripled its fleet under Tewolde GebreMariam’s watch, from around 40 when he took over as CEO in 2011, to 120 today.

Turnover also grew from $1.3bn in 2011 to $3.9bn in 2019-2020. And Ethiopian’s Addis Ababa hub now flies to 120 destinations, compared to 80 in 2010.

While the Covid-19 pandemic has had a huge impact, kicking a billion-dollar hole in the budget, Ethiopian Airlines has managed to be operationally flexible, refitting several passenger planes into cargo carriers, the fruit of a long-started diversification exercise.

Ethiopian Airlines was the continent’s fifth largest carrier, after South African Airways, Egyptair, Royal Air Maroc and Kenya Airways. But post pandemic, thanks to this agility — and the decline of other carriers — it finds itself Africa’s biggest as measured by turnover in our exclusive ranking of Africa’s Top 500 Companies.

“Ato Tewolde was a game changer in African aviation. He bumped Ethiopian Airlines into the new century with a solid and steady hand, expanding the airline in terms of scope and profits beyond what was thought possible in Africa”, says one African aviation expert who asks not to be named. “His agility was apparent in Ethiopian’s stunning quick turn once the pandemic decimated passenger traffic by quickly converting passenger aircraft to freighters, earning the awe and admiration of business leaders worldwide. Honestly his handling of ET during Covid was spectacular.”

“I have already retired due to ill-health & the resignation I submitted to the gov’t was accepted”, Tewolde told Ethiopia Check.

The news was broken by local news outlet the Addis Standard.

Source: The African Report

KQ to start daily flights to India on easing of curbs

Kenya Airways will now fly daily to India after the Asian country lifted the restrictions that had limited the national carrier to three flights a week, coming as a major boost to the airline that is struggling financially.

KQ, as the carrier is known by its international code, has been operating flights to India under a special arrangement normally referred to as ‘air bubble’ in aviation and which also limited the number of passengers to 400 a week.

The carrier, which resumed flights to India in September last year after it had stopped flying to the Asian country on April 2021, will also be making ten weekly flights to India starting April, coming as a major relief to passengers seeking to travel to the country.

“We are excited and ready for take-off to Mumbai with daily flights from March 28, 2022, and ten weekly flights from April, 17,” said KQ in a notice to its customers.

India has now opened its airspace to the national carrier as cases of Covid-19 in the country continue to decline.

The additional frequencies to Mumbai come just days after KQ cut frequencies to some of its destinations and stopped the launch of new routes citing declining demand for passengers.

A large number of patients from Kenya travel to India every year for specialised medical treatment, especially cancer care, helping to drive medical tourism in the densely populated country that boasts relatively more affordable healthcare.

Kenya Airways has postponed the launch of flights to Italy even as it suspended its operations to Cameroon due to low demand for passengers.

The national carrier was to start flying to Rome and Milan in June but it says the plans have been put on hold due to lower demand than it had earlier projected.

According to the initial schedule, KQ was to operate two weekly flights on Wednesday and Sunday using a large capacity aircraft Boeing 787 Dreamliner.

KQ re-introduced flights to Rome in 2019 after a seven-year hiatus, banking on increased traffic between the two continents and a new link in Geneva to boost its earnings.

Source: The East African