African aviation sector nearly back to pre-Covid levels, except in Southern Africa

Africa’s aviation sector was recovering strongly from the effects of the Covid-19 pandemic, but Southern Africa was lagging significantly behind the continent’s other three IATA sub-regions (East Africa, North Africa and West Africa). This was pointed out by International Air Transport Association (IATA) regional VP: Africa and Middle East Kamil Alwadhi in his address to the recent Aviation Africa 2022 summit in Kigali, Rwanda. (IATA is the representative body for the global airline industry.)  

The African airline sector as a whole was “now” operating at 74.6% of its pre-Covid-19 levels, he noted. In July, its passenger traffic had amounted to 73.8% of that it had carried in July 2019 (during the last pre-Covid year). For summit host nation Rwanda, air passenger traffic in July this year was 106% of its level in July 2019.

With regard to air passenger capacity, as distinct from air passenger traffic, that in East Africa during July this year was 93.4% of its level in July 2019. He described this as a “robust recovery”. In North Africa, capacity was some 6.9% below the figure for 2019. And in West Africa, capacity was actually greater than in 2019, by more than 8.7%. These figures all indicated that air travel demand in these regions had returned.

“It is quite different in Southern Africa where traffic remains over 36.5% lower than before the pandemic,” he highlighted, “although the reduced capacity can be attributed to three airlines having gone out of business, one suspending its operations and what was the sub-region’s largest, shrinking its fleet, network and schedule by more than 80%.”

He called on Africa’s governments and industry to closely work together to promote a harmonised air transport agenda. Certain African governments had to stop blocking the repatriation of airline funds (as of the end of June, 12 African countries were blocking a total of $1.3-billion), as this hurt the airlines and endangered those countries’ air connectivity.

Airlines and tourism should not be treated as easy targets for taxes, levies and imposts, without some of the money being spent on upgrading and expanding national aviation infrastructures. The implementation of the African Continental Free Trade Area and the Single African Air Transport Market were the best means to achieve social and economic sustainability in Africa. And aviation safety was paramount; “[it] is our main priority,” he affirmed.

“Connectivity is precious,” stressed Alwadhi. “The crisis has demonstrated that everybody suffers when aviation stops. Covid-19 has dispelled the myth that flying only benefits the rich. A financially viable air transport sector supports jobs and must be a driving force for Africa’s economic recovery from Covid-19.”

Source: Engineering News

Nigeria To Fine Airlines That Don’t Sell Tickets In Local Currency

Foreign carriers operating to and from Nigeria are no longer allowed to sell tickets in currencies different from the local one, the Naira.

The Nigerian Civil Aviation Authority (NCAA) has announced airlines selling plane tickets in a currency different from the local one, the Naira, will be fined. Let’s look closely at why the country has made such a dramatic decision.

Nigeria’s shortage of foreign currency

Hadi Sirika, Nigeria’s Minister of Aviation, announced that foreign carriers can no longer sell plane tickets in a currency different from the Naira.

The decision stems from a shortage of foreign currency Nigeria is currently facing. Although the country’s primary source of export is oil, Nigeria has not managed to take advantage of the product’s current high price efficiently. The Nigerian Economic Summit Group (NESG) linked the country’s inability to exploit its natural resource to low production rates, pipeline thefts, and acts of vandalism.

Consequently, Nigeria is implementing harsh measures to prevent foreign currencies from pouring out of the country. For example, foreign currency funds of several airlines, for instance, deriving from selling tickets in US Dollars or Euros, have been frozen. Upon this decision, many carriers have canceled flights to Nigeria, including Emirates.

The international response

In front of Nigeria’s measures to prevent foreign currencies from flowing out of the country, the international response has been just as harsh.

Indeed, Nigeria was forced to unblock $265 million the country owed to foreign airlines. This sum represents 57% of the $464 million Nigeria withheld in July 2022. As a consequence, foreign carriers have progressively resumed flights to Nigeria. From their side, airlines must now commit themselves to selling tickets in Naira. Commenting on those airlines that refuse to do so, Nigeria’s Minister for Aviation stated:

“This is a violation of our local laws and will not be tolerated. Those airlines that will not abide by this measure will be punished.”

The Nigerian Aviation market

According to Minister Sirika, in 2016, $600 million of the total $1.1 billion generated by airlines in Nigeria belonged to foreign carriers.

Given the relevance of the Nigerian aviation market, the Minister underlined how important it is for the country to have a national carrier, which is expected to start operations in 2023. According to the Official Airline Guide (OAG), the airline operating the most frequencies to Nigeria in 2019 was Air Peace, based in the country’s capital, Lagos. Air Peace also ranked first in terms of capacity, with 2 billion seats offered to/from Nigeria in 2019, and the scenario is the same for 2022. Among the Gulf carriers, Qatar is particularly strong in Nigeria, ranking 6th in 2022 in terms of capacity, with 659,236 seats offered to/from the country. Regarding Europe, Lufthansa is the 9th carrier for capacity deployed to/from Nigeria, while Turkish Airlines places 10th.

In terms of traffic, the Nigerian market is predominantly domestic, with almost 3 million passengers estimated in 2022 and a market share of 74%. The busiest international origin is the UK, representing a market share of 4% and an estimated number of passengers of 146,628. The busiest connecting airport for Nigerian Origin & Destination (O&D) traffic is Nnamdi Azikiwe International Airport (ABV), serving the Nigerian city of Abuja, whereas Doha Hamad International Airport (DOH) is the busiest international connecting airport for traffic bound for Nigeria.

Source: Simple Flying

UAE declares speedy recovery tourism post pandemic

The UAE has declared a speedy recovery of its tourism sector after the pandemic, with earnings surpassing €5 billion during the first half of this year, said Mohamed bin Rashed, the Emirati Vice President.

Bin Rashed said that the earnings of their tourism sector are more than 19 billion dirhams (€5.15 billion) during the first half of 2022. The UAE proved to be the fastest to get over the impacts of the pandemic.

Bin Rashed also clarified that total hotel bookings touched 12 million during the same period, with a projected development of 42%. He said that they are optimistic for an even sturdier retrieval in tourism during the upcoming winter season, which is the peak tourism period in the UAE owing to the temperate temperature of around 25 degrees Celsius, compared to more than 45 degrees Celsius during summer.

Bin Rashed, holding the position of Prime Minister and ruler of Dubai, said that the UAE’s foreign trade surpassed one trillion dirhams (271.1 billion euros), going up from 840 billion (227.7 billion euros) prior to the pandemic, with economic expansion of 22% during 2022.

Bin Rashed said that their indicators now are resilient than the indicators before the pandemic. Their economic growth is faster and tourism, trade and development segments are bigger than before the pandemic.

The UAE is one of the leading oil exporters in the world, and is also the most modern concerning infrastructure among Arab countries. It is also a chief tourist and business attraction in the Gulf.

Source: Travel and Tour World

US expands interview waiver program for non-immigrant visas in Nairobi

US ambassador Meg Whitman

The United States Embassy in Nairobi has announced the expansion of the Interview Waiver Program for non-immigrant visas.

In a statement on Friday, US ambassador Meg Whitman said this is effective immediately.

“Effective immediately, those applying for tourist/business, student, or crew visas categories may be eligible for a visa renewal without an interview,” she said.

Whitman said to qualify for this program, one must be applying for the same visa category.

“… And your visa cannot have expired more than four years ago.  Formerly, the limit was one year,” she added.

This is part of Whitman’s pledge to reduce the non-immigrant visa interview appointment backlog

The program enables most citizens or nationals of participating countries to travel to the United States for tourism or business for stays of 90 days or less without obtaining a visa.

Travelers must have a valid Electronic System for Travel Authorisation approval prior to travel and meet all requirements explained below.

Source: The Star

Heathrow to pause arrivals and departures during Queen Elizabeth II’s funeral

Heathrow to pause arrivals and departures during Queen Elizabeth II’s funeral

Flights to and from Heathrow will be halted for half an hour on Monday to ensure the two minutes’ silence at the end of Queen Elizabeth’s funeral is not disrupted by aircraft noise over London.

Britain’s main airport will also halt arrivals in the early afternoon to avoid planes coming in to land over the west of the capital during the procession of the Queen’s hearse, and it will stop take-offs later so as not to disturb the ceremonial procession to Windsor.

The changes will affect about 15% of Heathrow’s schedule, which the airport said was “equivalent to a moderate weather event”. British Airways expects to cancel about 50 flights as part of the changes.

Departure schedules will be reduced throughout the later afternoon to minimise noise during the committal service in Windsor. Flights will be diverted around Windsor Castle during the private family service and interment.

Some roads around the airport will also be closed, and Heathrow urged people to use available rail links such as the Elizabeth line or tube.

Separately, the UK’s major supermarkets said their petrol stations would be closed for most of the day of the funeral. Tesco, Sainsbury’s, Asda and Morrisons will close forecourts on Monday, with some reopening at 5pm.

Heathrow said its changes had been agreed with airlines and air traffic control service Nats, and would affect some scheduled flights, particularly in the late afternoon and early evening. Passengers whose travel plans would need to change would be notified by their airlines, it said.

A Heathrow spokesperson said: “As a mark of respect, operations to and from the airport will be subject to appropriate changes in order to avoid noise disruption at certain locations at specific times on Monday. Heathrow and airlines are working closely with Nats to minimise the impact of these restrictions on passengers.

“Passengers affected by these changes will be contacted directly by their airlines about their travel plans and the options available to them. Passengers who have been notified that their flight has been cancelled, and/or do not have a confirmed seat on a flight, should not turn up to the airport.”

Those waiting for flights will be able to watch the funeral on screens at the airport. Non-essential shops in the terminals will close on Monday, although restaurants, cafes and pubs will remain open. Heathrow said it would put additional staff in the airport to support passengers.

The airport apologised in advance for the inconvenience some passengers would experience but said it believed “this is the right thing to do at a time of national mourning”.

A BA spokesperson said: “As a mark of respect for Her Majesty Queen Elizabeth II on the day of her state funeral, we have reduced our schedule and retimed some flights at Heathrow to ensure the skies are quiet at certain moments on Monday 19 September. Our thoughts remain with the royal family and the nation.”

Its Gatwick and London City airport schedules are expected to operate as planned.

Heathrow flights were briefly suspended on Wednesday to ensure silence as the Queen’s coffin travelled from Buckingham Palace to Westminster Hall before the lying-in-state.

The full changes on Monday

  • 11.40am-12.10pm: no take-offs or landings from Heathrow, around the two-minute silence at the end of Queen Elizabeth II’s funeral.
  • 1.45-2.20pm: no arrivals to support the procession of the Queen’s hearse.
  • 3.05-4.45pm: no departures.
  • 4.45-9pm: reduced departure rate during the service.

Source: The Guardian

Africa’s hospitality industry is set to soar, analysts say

Africa hospitality

As the South African and broader African hospitality market continues to recover post-Covid-19, investment and development activity is set to ramp up as the sector evolves post its biggest ever crisis.

Industry expert Wayne Troughton, the CEO of HTI Consulting, says there are various themes and trends that are hot right now, “especially as the industry rebounds and leading players reposition themselves from a product, planning, funding and development pipeline perspective”.

Among the most notable trends for him is how the operational and investment landscape has shifted post the pandemic, how markets and products are adapting to these changes, and what the recovery and forward bookings are looking like for the upcoming season.

“One of the key questions we hope to answer is what the recovery and forward bookings are looking like currently and for the upcoming season.

“HTI Consulting is conducting research with tour operators, travel agents and hotel operators. The results of these surveys will be presented at the Hospitality Forum and will be discussed in a panel discussion with key influencers and champions in the sector.

“As Covid-19 has changed the way we think and to a certain degree how we work and travel, it is important to understand what new products have emerged and how existing brands have adapted to these changes especially moving forward,” he says.

He adds that Covid has also put significant pressure on cash flows that has resulted in the restructuring of debt and equity structures, and may also result in longer-term changes to how projects are evaluated and financed in the future.

Troughton’s comments come ahead of the inaugural API Hospitality Forum which will be held in Joburg on September 22.

It will provide insight into this fast-moving and exciting sector for over 150 attendees by leading industry experts, global hotel brands, funds, hotel owners and others from across the value chain.

“Over the last few years, a large proportion of investors in hospitality have migrated from other real estate asset classes, making it even more important to create this linkage between the broader real estate community and the hospitality sector.

“Partnering with the API Summit also makes it more affordable, enabling the summit to attract a broader and larger audience who may have found other international hospitality conferences inaccessible in the past.”

With an enviable pipeline across the African continent, Daniel Trappler, Radisson Hotel Group’s senior development director for sub-Saharan Africa, stresses the major role that hospitality plays as a lever of economic growth and also by providing meaningful and sustainable job creation.

“Hospitality is a key economic driver, employment creator and focal property type in regions throughout South and sub-Saharan Africa.

“Currently, our hotel development pipeline in the sub-Saharan region has an all-encompassing focus, including hotels within mixed-use schemes, serviced apartments, and appropriately located standalone products – ensuring that our developments are a response to market needs as we continue to cement our position as the most diverse hotel management company across Africa in terms of the number of countries in which we operate.”

Source: IOL

Kenya Airways to resume daily New York flights in December

Kenya Airways (KQ) will resume its daily flight frequency for the New York route in December, citing a spike in forward bookings for the festive month.

The airline had cut the flight frequency on the route to three per week from five in February after demand subsided following last year’s festive period.

The higher demand is a positive signal for the tourism sector, for which the US remains the largest overseas source market accounting for 16 percent of the 870,465 arrivals into the country last year.

The carrier says it will also scale up frequencies in the next summer period starting July-August 2023 should it be forced into cutting flights again early next year if demand flags in the post-Christmas period.

KQ has grappled with fluctuating demand on the US route since the beginning of the Covid-19 pandemic, hence the shifting flight frequencies.

“We continuously monitor demand trends which guide our decision to increase or decrease frequencies on this or any other destination. In the case of JFK (New York’s main airport), we will increase frequencies to daily during the festive season in December,” said the airline.

KQ started direct flights to the US in October 2018, with the route seen as key to reviving the airline’s fortunes.

This flight allows the airline to benefit from connecting travellers who transit through Jomo Kenyatta International Airport (JKIA) from other African capitals that lack direct air access to the world’s largest economy.

KQ had forecast its daily direct flights to the US would boost annual revenues by more than 10 percent in 2019 and 2020, but the Covid pandemic watered down these gains after both the US and Kenya imposed access restrictions on their respective jurisdictions.

The airlines sector has however been recovering as the pandemic recedes, allowing the likes of KQ to pare back some of the steep losses they suffered in 2020 and 2021.

The national carrier narrowed its net loss for the six months to June to Sh9.8 billion from Sh11.48 billion in the same period a year earlier, as its revenues jumped 76 percent to Sh48.10 billion on pent-up demand for travel.

The performance was, however, weighed down by higher operating costs, which surged by half to Sh53.11 billion anchored by a sharp rise in global prices of fuel.

Source: The East African

Hahn Air to Plant 150,000 Mangrove Trees in Kenya and Madagascar

Hahn Air, in partnership with veritree, has committed to planting 150,000 mangrove trees, equal to an area of 15 hectares (37 acres), in Kenya and Madagascar.

Once matured, the trees will sequester for an average of 32,000 metric tons of carbon dioxide.

“We are very excited about this project,” said Hahn Air CEO, Kirsten Rehmann. “Hahn Air’s partnership with veritree is the first of a number of nature-positive initiatives we are implementing. This involves reducing the carbon footprint of our own flights, of our business operations and our business travel activities. In this regard, it is important to us to work with a trustworthy partner who closely oversees and monitors the progress of our planting initiative. With veritree, we can be sure about every single tree being planted and nurtured to reach its full carbon absorbing capacity. We can also trust that our contribution is not only benefitting the environment but also the local community.”

veritree serves as a fully integrated management system that connects businesses, like Hahn Air, directly with the local planting and execution teams on site.

Through proof-of-stake blockchain technology, veritree ensures transparency and traceability of the tree planting activities.

The trees planted through the veritree platform are tracked via QR codes to validate, monitor, and analyse the planting progress.

“veritree and Hahn Air share a vision that the future of business is restorative, and collectively we can make a difference by investing in verified nature-based solutions.” said Derrick Emsley, CEO of veritree. “veritree’s mission is to make it simple for businesses to incorporate, and steward, nature-based solutions. We’re excited by our newly founded partnership with Hahn Air.”

Mangroves forests are a group of trees and shrubs that grow in the coastal intertidal zone and that play a key role in many coastal ecosystems. They provide primary habitat for thousands of species and are breeding and nursery grounds for many fish and invertebrate species. Not only are Mangroves able to absorb and store three to four times more carbon than mature tropical forests, but they are also protecting shorelines from winds, waves, and floods.

The mangrove forests in Kenya and Madagascar are also a crucial source of livelihoods for coastal neighbourhoods. veritree includes the local communities, involves them closely in safeguarding the projects, for example through reporting and verification, and thereby creates jobs and income sources through ecotourism and agriculture.

“To contribute to a more sustainable air transport, we are also looking into solutions for our travel agency and airline partners,” said Alexander Proschka, Executive Vice President Commercial. “It is our clear goal to offer carbon compensation options for flights distributed through Hahn Air in the future.”

Source: TNA

Dubai stands to gain most as Qatar World Cup fever fuels Middle East tourism boom

Dubai will be ‘the major gateway’ to the World Cup with probably more people coming through the city than Qatar, according to Dubai Airports CEO Paul Griffiths.

An accommodation squeeze means tens of thousands of fans will base themselves in nearby countries for the month-long tournament. Match-day flights from major Middle Eastern cities will shuttle spectators to games, benefiting airlines, hotels and hospitality venues across nations including the UAE, Saudi Arabia and Oman.

The already popular tourism hub of Dubai stands to benefit the most. Of the more than 90 new flights that will land each day in the host city, Doha, about 40 will leave from the UAE. A new hotel built on the Palm has been set aside for guests who plan to base themselves in Dubai and take the 40-minute flight to Doha with streamlined immigration procedures.

Dubai will be “the major gateway” to the World Cup with probably more people coming through the city than Qatar, said Paul Griffiths, the CEO of Dubai Airports. “The amount of hotel capacity in Qatar is fairly limited and we’ve got so much to offer here.”

Qatar has been preparing to host the Cup for 12 years and estimates the influx of 1.2 million visitors will add $17 billion to its economy. Amid concerns of an accommodation crunch, organisers have leased two cruise ships and will pitch more than 1,000 tents in the desert. A regional shuttle service will connect Doha with other cities including Muscat, Riyadh, Jeddah and Kuwait City.

Saudi Arabia and Oman are both holding festivals to entice fans and plan to streamline travel procedures. The Saudi Tourism Authority says it expects to welcome 30,000 visitors because of the World Cup, and those registered for Qatar’s Hayya fan card can apply for multiple-entry visas to the kingdom.

Meanwhile, Oman’s Ministry of Heritage and Tourism says the tournament will “raise the profile of many regional destinations” and have an economic impact well beyond the event.

FIFA and Qatar have both welcomed the tourism benefits that will flow to the region.

Compact event

The busiest period for Qatar will be the group stage, when four matches a day will be held in stadiums in and around Doha. Two of the venues are just a 10-minute drive apart, while the furthest is just an hour away. That makes the event more compact than the 21 World Cups that preceded it.

Russia, which hosted the last tournament, had stadiums spread over 11 cities, while Brazil held matches in 12 cities. For the 2026 World Cup, Mexico, Canada, and the US will share hosting responsibilities.

A compact tournament offers fans the opportunity to watch more than one match in a day, said Alan Holt, managing director of Expat Sport. Holt, who slept on a gymnasium floor in Japan during the 2002 World Cup and shared a one-bedroom apartment with four friends in Moscow in 2018, said accommodation shortages for such a huge sporting event are nothing new.

And World Cup fans have shown time and again they’re prepared to travel for matches.

“I expect for first-time visitors to the region to leave impressed,” Holt said. “For some people this is a bucket-list experience, for others it’s a four-year trip with friends and for many it’s an opportunity to come to a different part of the world than they previously had.”

Source: Gulf News

Dubai Tourism to Kick Off Road Show

Dubai’s Department for Economy and Tourism (DET), in continuation of its ongoing activities in Africa has released dates for its East Africa roadshow, with the Kenyan edition to be held on September 22.

The roadshow will highlight Dubai’s affordable experiences and the diversity of the city’s offerings to key travel partners. Highlights of the roadshow span across travel, hospitality, entertainment and Dubai’s citywide events, with a focus on leisure, family travel, education and medical tourism.

Key elements of the event will include breakout network sessions, partner presentations, one-on-one meetings, and medical facility updates.

Dubai, being known for its continuous drive to establish, maintain and show its safe, open, and accessible system, has seen Dubai ranked as the No.1 global destination in Tripadvisor Travellers’ Choice Awards 2022.

The new tourism figures from DET show that overall, Dubai hotels maintained an average occupancy level of 76Pct from January to May 2022.

According to data from hotel management analytics firm STR, Dubai ranked No.1 globally in hotel occupancy, ahead of other international destinations including New York (61Pct), London (60Pct) and Paris (57Pct), for the January to April 2022 period.