Bridging the Gap between Fintech and Traveltech.

The integration of finance and technology, known as fintech, has revolutionised traditional banking and payment systems, transforming how we live, work and travel. Similarly, travel technology, or traveltech, has empowered travellers with convenient booking platforms and personalised experiences. It makes sense then that significant opportunity exists to bridge the gap between these two sectors to unlock their full potential — particularly in Africa.

Africa’s travel and tourism sector has immense growth potential. But a major hurdle that first needs to be overcome is the large percentage of the continent’s population who remain unbanked, particularly when it comes to facilitating payment for travel and tourism services. Additionally, there is a need to digitise existing products and services to enhance market access and the experience for all travellers and improve operational efficiencies for businesses operating in the sector.

From a fintech perspective, it is crucial to identify ways to facilitate transactions between businesses in the tourism sector and payment oversight entities. One successful example of this is mobile money, which has gained significant traction across Africa with platforms like M-Pesa in Kenya leading the way. Integrating mobile payment solutions into traveltech platforms can cater to the large unbanked population and provide convenient payment options for travellers throughout the continent.

Cross-border remittances already play a critical role in many African countries, as they heavily rely on payments made from the diaspora. Fintech can help here by facilitating affordable and convenient cross-border money transfers for travel purposes. Blockchain-based solutions, for instance, can reduce costs, improve transparency, and accelerate the speed of transactions, benefiting both travellers and their families.

Fintech platforms can introduce micro-investing or savings features specifically designed for travel purposes. By enabling individuals to save small amounts of money regularly, these platforms can help people build travel funds over time. Fintech solutions can also address the challenges of financial inclusion in Africa by leveraging alternative data sources for credit scoring and providing access to credit for individuals with limited formal banking history. This can empower more people to travel and support the growth of domestic tourism within the continent.

To better incorporate fintech into existing traveltech solutions, online travel agencies and digital travel platforms should consider integrating fintech solutions to streamline payment processes, provide secure transactions, and even offer financial services like micro-insurance or access to credit for travel expenses. Platforms like Airbnb, for instance, which have already disrupted the traditional accommodation industry could benefit from fintech integration to facilitate seamless and secure payment processes between hosts and travellers.

Africa’s rich natural and cultural heritage presents opportunities for sustainable tourism initiatives. Fintech can support impact investing in sustainable tourism by providing crowdfunding or investment platforms that connect travellers, local communities, and investors interested in supporting environmentally friendly and socially responsible travel projects. This could be realised through peer-to-peer lending or crowdfunding that supports the growth of alternative accommodation providers or local travel start-ups in Africa.

Loyalty programs are an essential tool for fostering customer loyalty and engagement in the travel industry. By leveraging fintech solutions, data analytics, and social impact initiatives, loyalty programs in Africa can enhance the customer experience. Personalised rewards based on local preferences can be integrated into mobile-first solutions, further driving customer retention, repeat bookings, and overall industry growth.

While there are significant benefits to integrating fintech and traveltech, it is crucial to address potential risks. Data breaches, identity theft, and unauthorised access to financial accounts are serious concerns that must be mitigated through robust security measures. Seeking guidance from mentors or professionals, implementing backup plans and alternative payment methods, prioritising data privacy, and complying with regulations are essential steps in managing these risks.

Regulatory compliance is another critical aspect to consider. Fintech and traveltech platforms must understand and adhere to relevant financial regulations, such as anti-money laundering (AML) and know-your-customer (KYC) requirements, to ensure compliance and build trust among users.

Moreover, the travel industry is susceptible to market volatility, geopolitical events, and natural disasters. To offset these risks, platforms must diversify their offerings, have contingency plans, and stay updated on market trends and advisories.

Access to capital can also be a challenge for fintech and traveltech solutions. Limited credit history or collateral may hinder entrepreneurs and businesses from accessing the necessary funds. It is important then to carefully evaluate fintech lending platforms and ensure alignment with financial capabilities.

Bridging the gap between fintech and traveltech holds immense potential for Africa’s travel and tourism sector. By incorporating fintech solutions into existing traveltech platforms, we can enhance payment processes, facilitate secure transactions, promote financial inclusion, and support sustainable tourism initiatives. However, it is vital to address potential risks and challenges through robust security measures, regulatory compliance, and contingency plans. With careful implementation and collaboration, fintech and traveltech can work together to unlock the full potential of Africa’s vibrant travel industry..

Source: bbrief.co.za

Etihad Airways Unveils Daily Service to Nairobi reconnecting East Africa with the UAE.

12 Apr 2024 – By Bryan Obala.

Etihad Airways is gearing up to reconnect East Africa with a brand-new daily service to Nairobi, slated to kick off on May 1, 2024.

In partnership with the Kenya Association of Travel Agents (KATA), Etihad Airways is pulling out all the stops for a spectacular launch event. This exclusive occasion will take place at the newly inaugurated JW Marriott Hotel, the tallest hotel in Kenya boasting an impressive 35 storeys.

This non-stop flight will whisk passengers from Etihad’s hub in Abu Dhabi to Nairobi, with departure scheduled for 9:05 and arrival at 13:15 local time. Return flights will depart Nairobi at 18:10, arriving back in Abu Dhabi at 00:20.

Operating this route will be the Airbus A320 aircraft, boasting both business and economy cabins to cater to diverse passenger needs.

Beyond simply facilitating travel, this service heralds a vital reestablishment of direct commercial connections between these two vibrant cities. It’s poised to catalyze a surge in cross-business collaborations and trade opportunities between the United Arab Emirates and Kenya.

Excited to embark on this journey? Tickets are already available for purchase via Etihad Airways’ website. Secure your seat now and get ready to explore the wonders of East Africa like never before!

Why Dubai

Dubai, as a global economic centre, offers a diverse range of options for business events across various budgets.

Complementing its broad infrastructure and venues, Dubai is truly a vibrant hub for innovation and knowledge sharing. From large-scale conferences to intimate meetings, the city accommodates events of all sizes against the backdrop of a rapidly growing knowledge economy.

Its strategic location provides unparalleled access to emerging markets, making it an ideal platform for discussing the latest developments and fostering sustainability. With a multicultural environment, seamless connectivity across the city and its airports, and a history of convening global gatherings, Dubai guarantees an empowering experience for delegates, enabling them to capitalise on networking opportunities and maximize connections in this dynamic city.

Choose Dubai for unmatched business events today.

Source: Visit Dubai.

Ethiopian Inaugurates the New Jinka Airport Terminal Ethiopian Continues to Renovate and Construct Domestic Airport Facilities.

Addis Ababa, April 3, 2024

Ethiopian Airlines Group, the largest airline group in Africa, inaugurates its Jinka airport project, unveiling a new terminal and support facility buildings. The new state-of-the-art airport terminal is now open for service, following a grand celebration held today in Jinka, one of the emerging cities in the South Ethiopia Regional State.

The two-and-a-half-year project covered the construction of a new terminal building having a total built-up area of 3,500 square meter, support facility building, and external facilities including exclusive VIP parking area and other facilities. Regarding the inauguration of the new Jinka Airport, Ethiopian Airlines Group CEO Mr. Mesfin Tasew said, “We are truly delighted to witness the completion of the brand new Jinka Airport Terminal Building project that has been under construction for the last few years. As a national flag carrier, Ethiopian is playing its part in the country’s aviation transformation and Jinka is our latest contribution to Ethiopia’s modern aviation facility.

The new Jinka airport will further offer a comfortable travel experience to/from the city thereby boosting trade and tourism in the region and beyond. Committed to enhancing customer experience, we will continue to invest in renovation and upgrading of domestic airports.”

Following the finalization of the project with an investment cost of more than 8 million Euro for construction, Jinka Airport Terminal is now equipped with modern passenger service areas including departure and VIP lounges and other facilities that will enhance customer experience. The completion of the airport will help Ethiopian offer an upgraded customer services to its passengers to/from the city. It also creates a comfortable experience to tourists traveling to southern Ethiopia to visit the exotic people, culture, and nature of the region.

At its hub, Addis Ababa Bole International Airport, Ethiopian Airlines offers seamless transit and stopover services, creating an opportunity for passengers who have lay over to enjoy the beauty of Addis Ababa, the diplomatic capital of African.

About Ethiopian

Ethiopian Airlines Group (Ethiopian) is the fastest-growing airlines brand globally and the continent’s largest airline brand. In its seventy-seven years of successful operations, Ethiopian has become one of the continent’s leading carriers, unrivalled in efficiency and operational success. In addition to its main hub in Addis Ababa, Ethiopia, it is also pursuing its multi-hub strategy through hubs in Lomé, Togo with ASKY, in Lilongwe, Malawi with Malawi Airlines and in Lusaka, Zambia with Zambia Airways. Ethiopian commands the lion’s share of the African passenger and cargo network operating the youngest and most modern fleet to more than 150 domestic and international passenger and cargo destinations across five continents. Ethiopian’s fleet category consists of ultra-modern and environmentally friendly aircraft such as Boeing 737s, 777s, 787s, Airbus A350-900 and Bombardier Dash 8-400 double cabin with an average fleet age of seven years. In fact, Ethiopian is the first airline in Africa to own and operate most of these aircraft.

Having achieved its strategic plan (Vision 2025) ahead of time, Ethiopian is currently implementing a 15-year strategic plan called Vision 2035 that will see it become one of the top 20 most competitive and leading aviation groups in the world. As a multi-award-winning airline, Ethiopian has been champion in various coveted awards including Skytrax’s ‘Best Airline in Africa Award’ for six consecutive years among others. The airline has been a Star Alliance member since 2011 and has been registering more than threefold growth in the past 10 years.

For more at: www.ethiopianairlines.com

Email: CorporateCommunication@ethiopianairlines.com Contact: (251-11)517-8913/8165/8907

Dubai sees 18 percent rise in overnight visitors to 3.67 million in first two months of 2024.

The latest figures from the Dubai Department of Economy and Tourism (DET) revealed an annual increase of 18 percent in the number of visitors in the first two months of 2024. During January and February, Dubai received 3.67 million visitors, with 1.77 million visitors in January and 1.9 million visitors in February.

Origin of visitors

Western Europe was at the forefront of visitors to Dubai in the two months. Tourists from Western Europe constituted 21 percent of the total number of visitors to Dubai, or about 773,000 tourists. South Asia followed with 604,000 visitors, constituting 17 percent of the total number of tourists. Then came the Gulf Cooperation Council countries with 549,000 visitors, constituting 15 percent of the total.

Russia, the Commonwealth of Independent States and Eastern Europe ranked fourth, with 530,000 visitors, constituting 14 percent of the total number of tourists in Dubai. In fifth place, visitors from the Middle East and North Africa reached 448,000, constituting 12 percent of the total. Meanwhile, visitors from North and Southeast Asia recorded a share of 9 percent or about 340,000 visitors in Dubai.

The number of tourists arriving to Dubai from the Americas reached 240,000, making up 7 percent of the total. Meanwhile, the number of visitors from Africa reached 138,000, or about 4 percent of the total. Moreover, 53,000 visitors from Australia came to Dubai in January and February, making up about 1 percent of the total.

Hospitality sector surges

By the end of February, the number of hotel rooms in Dubai reached 151,269 in 826 establishments, compared to 148,450 rooms in 813 establishments by the end of February 2023. The average hotel occupancy in Dubai reached 87.1 percent, compared to 84.4 percent during the first two months of 2023. Meanwhile, the number of rooms booked exceeded 7.78 million, compared to about 7.28 million rooms during the first two months of 2023. Besides, the average length of stays reached 3.8 hotel nights during January and February 2024.

Notably, the number of 5-star hotel rooms in Dubai reached 52,118 in 161 establishments, accounting for 35 percent of the total number of hotel rooms. Meanwhile, the number of 4-star rooms reached 43,792 in 197 establishments, and the number of one- and three-star hotel rooms reached 29,037 in 275 establishments. The number of luxury hotel apartment rooms reached 13,764, and the number of medium-level hotel apartment rooms reached 12,558.

During the first two months of 2024, the average daily price of a hotel room in Dubai reached AED664, a 9 percent increase compared to AED609 during the corresponding period of 2023. Meanwhile, the average revenue from available rooms reached AED578, a 12 percent increase compared to AED514 in the first two months of 2023.

Source: Economy Middle East.

Exploring Innovations in IATA Payment Solutions for Travel Agents: Insights from the Inaugural Payments Summits.

30th March 2024

By: Bryan Obala

Membership & Communications, KATA

During the inaugural Payments Summits, the International Air Transport Association (IATA) provided a comprehensive overview of innovations in IATA Payment solutions. This presentation, led by IATA’s Country Manager East Africa, Agnes Mucuha, highlighted the organization’s Focus Africa initiative. This initiative is dedicated to maximizing aviation’s contribution to African development by enhancing services for passengers and shippers.

Focus Africa Initiative: The Focus Africa initiative, spearheaded by IATA, is geared towards delivering measurable improvements in six critical areas: safety, infrastructure, connectivity, finance and distribution, sustainability, and skills development. Of particular relevance to the Payments Summit discussion was the focus on finance and distribution, aiming to accelerate the implementation of secure, effective, and cost-efficient financial services, alongside the adoption of modern retailing standards.

IATA EasyPay (IEP): A significant aspect of the presentation centered on IATA EasyPay (IEP), an optional pay-as-you-go solution designed for travel agents. IEP provides a simpler and more secure method for transacting with airlines through the Billing and Settlement Plan (BSP). It’s noteworthy that IEP is a closed-loop electronic payment solution, voluntary in nature, and devoid of any charges, offering greater flexibility and choice for Accredited Travel agents to manage their business challenges.

From left: Agnes Mucuha, Country Manager East Africa, International Air Transport Association (IATA); Hamisi Hassan, Vice Chairman, Kenya Association of Travel Agents (KATA)

Advantages for Participants: IATA outlined the advantages of IATA EasyPay for participating Airlines and IATA Accredited Agents:

  • Voluntary: IEP is available to all IATA accredited agents, with the decision to use it resting with each agent. It does not intend to replace existing payment methods in the BSP.
  • Secure: IEP ensures security by requiring agents to fund their IATA EasyPay account. The system verifies fund availability at the time of ticket issuance, mitigating the risk of chargebacks for airlines.
  • Fast: IATA settles IEP amounts to airlines on a daily basis through existing BSP processes, ensuring prompt transfer of funds within 48 to 96 hours following ticket issuance.
  • Economical: With low transaction costs, IEP proves to be more cost-effective for airlines compared to credit card transactions.
  • Flexible: IEP transactions are secure, allowing agents to lower their financial security amounts with IATA and issue transactions outside their cash issuance capacity.

Expansion in Africa: An exciting revelation from the presentation was that the IATA EasyPay service is now available in 27 countries across Africa. Moreover, IATA is actively collaborating with authorities to expand into additional markets, demonstrating a commitment to support Africa’s aviation industry and modernize financial services and solutions across the continent.

In summary, IATA’s presentation at the Payments Summits provided valuable insights into the innovative strides being made in IATA Payment solutions, particularly through the introduction of IATA EasyPay. As the initiative gains momentum and expands its footprint across Africa, it promises to revolutionize financial transactions within the aviation sector, benefitting both airlines and travel agents alike.

Kenya Association of Travel Agents (KATA) Partners with Absa Bank Kenya and Visa to Introduce Enhanced Corporate Card Solutions.

28th March 2024

By: Bryan Obala

Membership & Communications, KATA

In a groundbreaking collaboration, Absa Bank Kenya, in conjunction with Visa, has unveiled the Visa Commercial Choice Programme, a pioneering Corporate Card solution aimed at members affiliated with the Kenya Association of Travel Agents (KATA). This innovative initiative promises a myriad of benefits including enhanced automation, flexibility, and improved cash flow management for travel agents across the country.

From left: Dr. Joseph Kithitu, KATA Chairman; Moses Muthui, Consumer Banking Director, Absa Bank; James Kabuthi, Head of Products and Solutions, East Africa, Visa

Under this strategic partnership, travel agents under KATA, representing a formidable network of over 300 travel agencies, stand to gain from streamlined payment solutions tailored specifically for business to business (B2B) transactions. These solutions are geared towards fostering efficient working capital management, operational effectiveness, and improved supplier relationships.

The Visa Commercial Choice Travel Programme, freshly introduced by Absa Bank, offers a plethora of advantages for travel agents within KATA. Notably, agents now have the option to conduct transactions in Kenyan Shillings or US Dollars, empowering them to effectively manage cash flows and optimize working capital. Furthermore, members can leverage the Visa Commercial Pay Virtual Card Platform to automate booking processes and access cutting-edge tools for data management and reconciliation, complete with an intuitive reporting feature for seamless monitoring.

In addition to the tailored Corporate Card solution, Absa Bank is also rolling out a revamped Absa Corporate Visa Card, equipped with enhanced features and flexibility to address the diverse needs of businesses. Through this card and the innovative Visa Commercial Pay Virtual Card Platform, businesses can exercise greater control over employee-initiated expenses and payments, thereby enhancing visibility and operational efficiency.

Commenting on the collaboration, Moses Muthui, Consumer Banking Director at Absa Bank, expressed enthusiasm, stating, “The collaboration between Absa Bank Kenya, Visa, and the Kenya Association of Travel Agents marks a significant milestone in our efforts to empower businesses and accelerate digital inclusion in this space with smarter and integrated payment solutions.”

Eva Ngigi-Sarwari, Visa Kenya Country Manager, echoed similar sentiments, highlighting the partnership’s commitment to innovation and service excellence. She emphasized, “By combining Visa’s global reach and advanced technology with Absa’s deep local market expertise, we are confident that this new payment solution will significantly enhance the way travel agents manage their transactions, providing them with a seamless, efficient and secure experience.”

Nicanor Sabula, CEO of KATA, lauded the collaboration, affirming its importance in catering to the specific needs of members and underscoring the commitment to industry-focused financial solutions.

From left: Dr. Joseph Kithitu, KATA Chairman; Moses Muthui, Consumer Banking Director, Absa Bank; James Kabuthi, Head of Products and Solutions, East Africa, Visa at the Launch of the Corporate Cards for Travel Agents

The Absa Corporate Visa Card offers a range of features including virtual and physical card options, granting customers the flexibility to adapt to various payment scenarios. Furthermore, it integrates seamlessly with Visa Commercial Pay, facilitating hassle-free payments to travel suppliers such as airlines and hotels while streamlining reconciliation processes.

With the launch of the Absa Corporate Visa Card, Absa Bank Kenya reiterates its dedication to innovation and excellence in client service. Leveraging cutting-edge technology and strategic partnerships, the bank continues to deliver solutions that resonate with the evolving needs of businesses in Kenya and beyond.

Sabre 2023 Data Breach Investigations Report.

The travel business today is facing an increased risk to their online security with a rise in cybercrime and phishing attacks. In addition, MFA is required for PCI DSS 4.0 and ISO 27001, SOC2 compliance. With the growing number of Industry standards that are required to mitigate risk, a robust approach to system security is critical.

How will Sabre Identify help you?

With an easy use of MobilePASS+ app you will be able to apply a one-time-passcode (OTP) to add an additional level of security to your Sabre access. This means that besides the usual Sabre credentials (EPR-PCC-Passcode) you will be prompted to input an OTP at sign-in to SRW360 or any Sabre secure sites (i.e.: Sabre Central).

This additional security will protect you from bad actor activities, preventing anyone that is able to gather your Sabre credentials to access the system without your authorization.

Product features

Sabre Identify works in conjunctions with MobilePASS+ applications, which may be downloaded in your device of choice. Once you request using Sabre Identify, you will receive instructions for easy download and enrollment for your user. Sabre Identify will mitigate unauthorized access, as even if someone is able to gather your credentials, accessing Sabre or Sabre secure sites will be limited to the access to your unique One-Time-Password.

To learn about Sabre Identify visit : Sabre or  contact marketing@sabron.com

Dubai Tourism CEO on the Power of Bollywood, Indian Visas and Cricket.

Dubai Tourism CEO Issam Kazim joked that Dubai is an Indian city.

Speaking at Skift India Summit 2024 on Wednesday in Gurugram, India, Kazim had a point. Dubai and India are closely linked when it comes to Indians living in Dubai, as well as cultural and travel ties. Much of Dubai’s modern success as a tourism hub grows out the many Indians choosing to stay there.

Since 2015, India has reigned as Dubai’s largest inbound travel market, with around 2.5 million Indians coming into Dubai in 2023. The emirate runs 75 flights a day to and from India, though, according to Kazim, that’s still not enough.

“There is a surge in demand for Dubai from India,” he said. “The culture between India and the UAE is so strong. The historical relationship is so strong. It’s natural for a lot of Emiratis to speak Hindi fluently.”

In February, Dubai introduced a five-year multiple-entry visa for inbound Indian travelers, with visas being one of the best ways Dubai can demonstrate its intent to push travel.

Kazim explained: “We’ve rolled out many visas. We want people here for weekend getaways, sports, tourism. We want people here. We have a lot of visiting friends and relatives travel as well.”

He cited visas as an example of governmental-private sector collaboration.

“The government leads the way and the private sector follows. We have a constant dialogue with the private sector on how we can make their lives smoother,” he said “Visa policies are an example of that.”

Big on Bollywood

In 2022, Dubai Tourism launched a global campaign with Bollywood legend Shah Rukh Khan to promote the emirate and its travel spots. The video has attracted 10 million views.

According to Kazim, Bollywood stands as a huge travel generator for Dubai, serving as an “organic” way to drive interest.

“Bollywood has done a lot for Dubai,” Kazim said. “It’s more than just SRK (Shah Rukh Khan, India’s biggest movie star) as well. Dubai was always mentioned positively by India, there’s a positive synergy. SRK has that organic energy. There’s no act that he likes Dubai — he genuinely does.”

“Bollywood goes well beyond the boundaries of India,” he said. “Same in Middle East, same in Europe, same in U.S.”

India Premier League

Rumors cropped up earlier this month that the 2024 season of the Indian Premier League (IPL) could be moved to Dubai in April and May.

IPL was held in the UAE in 2020 across Dubai, Abu Dhabi and Sharjah as India was badly hit by the pandemic at that time.

Kazim did not confirm the claim, but said: “Dubai has always hosted IPL games, we know the importance of it for the India communities.”

Source: skift.  

Travelport Delivers NDC Content and Servicing for Qatar Airways on Travelport+

LANGLEY UK, Travelport, a global technology company that powers travel bookings for hundreds of thousands of travel suppliers worldwide, and Qatar Airways, one of the world’s leading global airlines, announced today that Qatar’s NDC content and enhanced servicing capabilities are now available in the Travelport+ platform.

Travelport customers can easily search and compare NDC offers from Qatar Airways, as well as service NDC bookings, which includes modifications and cancellations. Travelport+ enables agency customers to access a wide range of rich content, fares, and unique offerings from Qatar Airways all in one place, enhanced by the Content Curation Layer (CCL).

This Travelport+ feature minimizes manual tasks using powerful artificial intelligence (AI) and machine-learning (ML) capabilities to provide agents and travelers a more modern retailing experience with faster search response times, highly relevant results, and greater accuracy.

“Our NDC collaboration with Travelport ensures that travel agents around the globe can effortlessly shop and book our growing repertoire of NDC offers and provide exceptional service to our customers, including post-ticketing. Qatar Airways has long been committed to bringing our agency partners along on the NDC journey, so we’re pleased to extend our NDC offers to Travelport subscribers,” said Matt Raos, Senior Vice President Global Sales at Qatar Airways.

“Now that Qatar’s NDC content is available on Travelport+, our agency customers will have the ability to view and compare more dynamic offers and ancillaries from Qatar Airways so they can create a more streamlined, personalized experience for travelers,” said Jason Clarke, Chief Commercial Officer, Travel Partners at Travelport. “We’ve built our NDC solution to empower travel agents to operate as modern retailers and provide the level of service that travelers need beyond the point of booking, so that our partners benefit from more upsells and greater loyalty from their customers.”

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About Travelport

Travelport is a global technology company that powers bookings for hundreds of thousands of travel suppliers worldwide. Buyers and sellers of travel are connected by the company’s next generation marketplace, Travelport+, which simplifies how brands connect, upgrades how travel is sold, and enables modern digital retailing. Headquartered in the United Kingdom and operating in more than 165 countries around the world, Travelport is focused on driving innovation that simplifies the complex travel ecosystem.

Media Contacts:

Katie Cline

Senior Director, Global Head of External Communications

katie.cline@travelport.com

Jennifer Blackburn

Senior External Communications Manager

jennifer.blackburn@travelport.com

Beau Avis

External Communications Coordinator

beau.avis@travelport.com

Source: Travelport.