Roughly $2 Billion Of Airline Funds Are Being Blocked By Governments Worldwide

The International Air Transport Association (IATA) has called on governments to begin repatriating blocked airline funds following a 25% increase since June. The combined total owed currently sits at almost $2 billion, divided across 27 countries.

$1.2 billion trapped in five nations

In a statement released on Wednesday, the IATA warned about the skyrocketing amount of trapped funds as governments attempt to pad the impact of currency crises. Across the past six months, the figure has increased by almost $400 million to $2 billion, with over 60% of the blocked amount attributed to just five countries: Nigeria, Pakistan, Bangladesh, Lebanon, and Algeria.

IATA Director General Willie Walsh cautioned the nations with outstanding debts to airlines, citing compliance with respective international agreements and obligations.

“Preventing airlines from repatriating funds may appear to be an easy way to shore up depleted treasuries, but ultimately the local economy will pay a high price. No business can sustain providing service if they cannot get paid and this is no different for airlines. Air links are a vital economic catalyst. Enabling the efficient repatriation of revenues is a critical for any economy to remain globally connected to markets and supply chain.”

Currency crises

Nigeria is the highest debtor named by the IATA, with coverage of the crisis seeing significant coverage through summer and autumn. The debt notably became the subject of an ongoing feud between the government and Dubai-based Emirates. Last month, the airline withdrew from operations in the West African nation after continued delays in repatriating its revenue.

In September, Nigeria announced it would begin fining carriers that did not sell tickets in naira amid its ongoing international currency crisis, inflating total blocked funds to almost $700 million in late October. Although $551 million is still pending repatriation, Kamil Al-Awadhi, IATA Regional Vice President for Africa and the Middle East, praised the country’s collaborative and constructive work to begin resolving the issue despite difficult circumstances and release $120 million in November. A further release is expected by the end of the year.

Pakistan trailed behind Nigeria, with $225 million owed. While no formal currency crisis has been declared, economists at Bloomberg have warned of a sharp increase in its probability through 2023 after the country sought to ease conditions for the $1.1 billion International Monetary Fund (IMF) loan provided in August.

Bangladesh, Lebanon, and Algeria round out the top five, owing $208 million, $133 million, and $140 million, respectively.

Returning to Venezuela

Outside of the $2 billion owed, the IATA has turned its eyes to Venezuela, which racked up $3.8 billion in airline debt during a prolonged period of hyperinflation, political instability, and international sanctions. The government has blocked the repatriation of airline funds since 2016, leading to international air traffic into Venezuela dropping by 62% between 2016 and 2019.

Since 2021, the country has made significant headway in bolstering its economy, recording 17.04% year-on-year economic growth during the first financial quarter of 2022. Several carriers, including TAP Air Portugal, LATAM, and Avianca, have already resumed flights to Venezuela as the country moves to promote its tourism market.

While several governments remain unconvinced of the country’s stability and continue to advise against travel, Venezuela has notably seen an uptick in arrivals from Russian holidaymakers seeking “friendly” destinations. Nordwind Airlines relaunched direct services between Moscow Sheremetyevo (SVO) and Margarita (PMV) on October 2, welcoming 3,000 tourists to the resort island during October and November. A recently assigned agreement between both countries could see a potential 100,000 Russian holidaymakers visit the country before the end of the year.

Source: Simple Flying

Unaccompanied Children On Flights: What You Need To Know

You probably enjoy flying! However, the same can’t always be said for children, especially those flying alone. If you ever find yourself having to send your child on a flight by themselves, here’s what you need to know.

Unaccompanied minor programs

With flying becoming an increasingly accessible mode of travel, it is more common than you’d expect that, for various reasons, children fly without the accompaniment of a parent or guardian. This is why many airlines these days offer programs for unaccompanied minors.

Services can range from basic chaperoned assistance to more comprehensive travel support, depending on what’s offered by your airline of choice. Generally, all unaccompanied minor programs are designed to cushion a child’s stress and fear of traveling alone and to reassure parents that their child is well taken care of.

Requirements

  • Age: Almost all airlines do not allow children under the age of five to fly unaccompanied. Those above five can fly alone – provided the airline has an unaccompanied minor program. However, some airlines require the child to be at least 12. If your child is aged 16 and older, they will be considered an adult, so chaperoned services will not be available to them.
  • Documentation: Apart from your child’s passport, you will also need to provide documents detailing the responsible adult who will be picking up and dropping off your child. Your child will only be allowed to leave with the nominated adult at the arrival point if relevant identification documents, such as a passport or driver’s license, are provided.
  • Important information: Crucial details, including travel insurance and medical information for allergies and medications, should be provided to the airline prior to the trip. It is also advisable that you provide more than one emergency contact detail should an incident occur during the journey.

Checking in

Right through the check-in process, minors must be accompanied by a responsible adult. Once the child is checked in, a member of the cabin crew will then guide them through security and onto the aircraft. Minors are given priority boarding so that they can get settled on the plane before the rest of the passengers board.

Parents or guardians are encouraged to remain at the airport until after the departure time, just in case the flight is unable to depart for any reason.

Extra precautions

While these rules and regulations generally apply to most airlines that offer chaperoned services, the level of service can vary. Also, do note that there are often additional costs involved. It’s a good idea to confirm the exact requirements and regulations of the airline you are booking your child’s flight with.

https://d57295122e4cede2e9fb9ab65a9fb060.safeframe.googlesyndication.com/safeframe/1-0-40/html/container.html For example, Jetstar recently came under fire for removing an unaccompanied 11-year-old from a flight. The flight booking was originally made through Qantas, the low-cost carrier’s parent company, which allows unaccompanied minors. Jetstar, however, does not allow children under 15 to travel alone.

Source: Simple Flying

Regenerative Travel Is the Next Phase of Responsible Tourism

From far-flung expeditions to deep fireside chats, travel has the power to change us. When done well, it can also positively change the places we visit—a fact I learned during a recent safari in southern Tanzania.

As a wildlife enthusiast, I often plan my trips around local fauna. Sure, I follow responsible wildlife tourism guidelines, but cruising around in a safari Jeep doesn’t necessarily help the animals, or ecosystems, I’ve come to admire. Getting my hands dirty installing camera traps to assist researchers studying wildlife in an uncharted and once highly hunted stretch of southern Tanzania? That’s a bit more like it.

And this, it turns out, is part of a growing trend of the 2020s: regenerative travel. The idea is to go beyond sustainability, which focuses on minimizing negative impact, and instead have a net positive impact on the place you’re visiting.

During my trip to southern Tanzania’s new Usangu Expedition Camp by safari company Asilia, this meant installing and monitoring camera traps and snapping then uploading animal photos to citizen-science database iNaturalist to help researchers benchmark and monitor local wildlife populations; guests can also assist with collaring programs to track the movements of big cats. These experiences felt even more enriching than a traditional Jeep safari, and they contributed to Usangu’s goal: helping conservationists from partner organizations, such as the Tanzania Wildlife Research Institute, better protect this under-studied ecosystem.

Usangu is one of a growing number of experiences allowing globe-trotters to leave a positive footprint. Given community and environmental strains from the last decade of uncapped (and largely uncontrolled) tourism growth, plus a jet-setting resurgence after the pandemic, this shift couldn’t come at a better time.

“Tourism took a bad [hit] during Covid from a reputation point of view; regenerative travel is a way to rebuild the brand of tourism,” says African Leadership University’s School of Wildlife Conservation research director Sue Snyman, noting this is particularly important for engaging local residents. Years of negative tourism impacts have left some communities wondering why they’d want tourism to begin with. “If communities see travelers having a genuine positive impact, they’ll understand [what tourism can do].”

An Urgent Need 

With overtourism pressures mounting in Moab,  Sedona, and Big Sur—just to name a few—more of us are understanding the complex impact of too many visitors on beloved environments.

In June 2020, six responsible-travel groups, including the Center for Responsible Travel and the Global Sustainable Tourism Council, joined forces to reshape tourism for the better. The result: the Future of Tourism Coalition, which calls on industry organizations to follow 13 guiding principles.

Some of these guidelines follow a more traditional sustainability model, like reducing emissions. Others align with the regenerative ethos, such as demanding that local communities receive fair income from tourism, and creating experiences that support artists, farmers, guides, and chefs working to preserve and protect their local culture.

When The New York Times first reported on the regenerative travel trend in August 2020, around 20 travel groups had pledged to support these principles. Now, more than 600 organizations have signed on; the coalition is also co-hosting its first in-person summit this fall.

While exciting, this shift toward more equitable and responsible excursions is long overdue. According to Planeterra, a nonprofit that aids community-based initiatives around the world, the tourism industry generates some $8 trillion globally, yet local communities hardly receive a fraction, if any, of it.

The Future of Tourism Coalition principles benefit the community and the jet-setter, says Planeterra president Jamie Sweeting. “When you help empower local people to run their own enterprises, where they’re the ones hosting you in their village or community, you feel like you’re part of something bigger than just ‘I’m here having a great holiday.’”

The concept makes sense, but let’s be clear: we have a long way to go—especially after the economic blow of the pandemic. “Most tourism businesses had to really struggle for a couple of years. They have to be judicious about how they’re spending their money,” says Sweeting. For many travel companies, regenerative experiences aren’t the top priority. “But the consumer has way more power than they’ve ever had in the travel sector. Travel businesses will do what the travelers want, so if you want to make a difference, start asking for this kind of tourism.”

Regenerative Travel for Communities

All too often, travel is consumptive, or in Sweeting’s words, “parasitic.” Visitors often take from communities—be it consuming resources (water use, for example, is a major tourism issue in Hawai’i), snapping photos for social media, or worsening crowds and congestion.

Advocates of responsible tourism have long encouraged globe trotters to hire community guides or stay in locally owned hotels instead of chains. The regenerative travel trend paves the way for even more positive impact.

Planeterra, founded in 2003, aids community enterprises through mentorship, networking, grants, and education. It works with G Adventures to connect travelers directly to businesses that need their support; examples include booking community-owned culinary experiences on trips to southern Africa and touring a women’s weaving co-op in Peru before trekking the Inca Trail.

“It’s all about equity and empowerment, and enabling communities to tell their stories, their history, and share their environment in their way,” says Sweeting, noting that in recent years, this model has led to some substantial local gains: employment opportunities for women, increased education access for youth, and revenue staying within communities. (Planeterra wants community businesses to generate $1 billion from global tourism by 2030.)

Other regenerative initiatives that have sprouted up include Mountain Homestays, a network that offers accommodations from Kenya to India largely owned and operated by Indigenous female entrepreneurs. One particularly unique spin-off, Astrostays, takes the Indigenous-owned accommodation further, with experiences centered on stargazing and culture in the Indian Himalayas. Astrostays launched in summer 2019; it’s already generated enough revenue to install greenhouses and solar-powered water heaters in local villages.

According to Snyman, who’s studied community-based tourism for decades, this approach can work, but it’s not foolproof. “Tourism is one of the most complex businesses in terms of business management, and yet, you’re expecting this community to now be a partner with the private sector who’s done it for 30 years,” she says, noting true capacity building within the community is critical. “People talk about equity partnerships, but for me, there’s nothing equitable in them when the power balance is skewed. There are good examples [of community tourism], but there’s still work to be done in the space of equitably engaging communities.”

One community-based tourism model that’s impressed Snyman is Namibia’s Damaraland Camp. It came to fruition when travel outfitter Wilderness Safaris launched a joint venture with the local community in Damaraland, located in the Huab River Valley, in 1996. At the time, unemployment here had reached nearly 100 percent and human-wildlife conflict was raging. This venture led to the creation of the 869,000-square-acre Torra Conservancy, a community-based program in which the local people own and operate Damaraland Camp. Wilderness Safaris and the conservancy share in both the benefits and risks. The initiative has also helped the local people view wildlife as a resource to protect, not poach.

Support Communities, Advance Conservation

Damaraland Camp highlights the full potential of regenerative travel; by supporting local people, travelers also support conservation. Minnesota-based nonprofit Indifly shows how the principle can apply to other types of tourism, such as angling.

Indifly helps Indigenous communities around the world create equitable ecotourism initiatives centered on fly fishing and conservation; all projects are 100 percent community-owned and operated. One of its latest projects, a community-owned eco lodge on Wyoming’s 2.2 million acre Wind River Indian Reservation, will generate critical economic opportunity for the Indigenous Eastern Shoshone and Northern Arapaho communities, where unemployment hovers around 70 percent.

The idea: build a sustainable economy where Indigenous communities both benefit from fly-fishing tourism and manage how visitors enjoy, and respect, these precious resources.

“[The waterways] will stay pristine as long as they’re protected. The minute you start overdoing it, you’re going to hurt them. The tribes, we do have the ability to protect that,” Darren Calhoun, an enrolled Northern Arapaho Tribe member, said in a film about the project by Indifly partner Yeti. In 1992, Calhoun and his father founded the 100 percent Native-owned outfitter Wind River Canyon Whitewater and Fly Fishing.

One reason fly fishing works so well? It’s lucrative. According to a 2021 report from the American Sportfishing Association, the U.S. fishing community alone generates an economic output of nearly $40 billion per year. “Anglers tend to spend more money than [many] other types of outdoor pursuits, and they’re willing to pay to travel to places that people don’t typically go,” said Matt Shilling, Indifly’s executive director.

“The challenge for us as a community is let’s [build upon this interest], but let’s make sure we’re the beneficiary,” Calhoun said in the Yeti film. “Let’s put our kids to work, let’s create businesses for our community.”

Increasingly, regenerative travel experiences are available for all types of outdoor activities. Scuba certified? Try trash diving or coral restoration. More into terrestrial excursions? Book a Sierra Club trip to help with trail maintenance or native species restoration in some of the country’s most scenic getaways.

Even small actions can have a big impact, especially in our increasingly visited national parks. According to Brittany Conklin of the Grand Canyon Conservancy, spending in GCC-run retail stores or participating in the park’s Field Institute classes directly fund trail updates, wildlife conservation, and habitat restoration.

Lasting Impact

The idea of regenerative travel may seem a bit Pollyanna-ish, or like traveling with rose-colored glasses, but Snyman says it can and does work. The key factor is how positive impact spreads beyond direct tourist activity or spending. When local workers receive fair payment, or community enterprises generate revenue, the community’s whole economic ecosystem can flourish.

“Often governments look specifically at the number of tourists and what they spend [as a sign of success], but one of the biggest benefits of staff getting paid is they can go into their communities and spend money,” says Snyman. “They employ other people to look after their children. They work in startup businesses and spend their money in the villages. That, to me, is regenerative.”

Source: Outside Magazine

United Arab Emirates is ranked as having the best passport in the world

The United Arab Emirates is ranked as the world’s number one passport to hold in terms of mobility and freedom from travel restrictions, according to the latest publication of the Passport Index, a global ranking by Montreal-based citizenship financial advisory firm Arton Capital.

The UAE, a small, oil-rich Gulf sheikhdom of about 10 million people — some 90% of whom are foreign expats — has beaten the likes of Germany, Sweden, Finland and Luxembourg in the latest ranking, though those countries are all in the top five.

Essentially, if you’re an Emirati passport holder, you can travel to a huge number of countries visa-free, and in many others you can get a visa right when you arrive. Emirati passport holders can enter 121 countries without a visa, and get a visa on arrival in a further 59 states. They need a visa for just 19 countries, meaning they’re able to access 91% of the world’s countries without having to apply for a visa before traveling.

Compare that to the United States, whose passport allows visa-free travel to 109 countries and visa-on-arrival to 56, while 26 countries require Americans to apply for visas in order to enter. The U.S. passport’s “world reach” is calculated at 83% of the world’s countries, compared to the UAE’s 91%.

The UAE, a desert hub for business and travel that’s home to the most multinational company headquarters of any Middle Eastern country, received a list-topping “mobility score” of 180. The methodology behind that score takes into account visa-free and visa on arrival privileges in other countries, and “the higher the mobility score, the better global mobility its passport bearer enjoys,” according to the report.

“What sets the UAE passport apart in particular is its ability for holders to enter countries with a visa on arrival,” Armand Arton, president and CEO of Arton Capital, told CNBC.

“Whilst the passport’s power to enter countries visa free is comparable to its competitors, those with a UAE passport can enter 13 more countries with a visa on arrival than those with a German passport, the second ranked passport.”

The UAE has benefitted from numerous reforms in recent years that have brought many more people into the country to live, including normalizing relations with Israel and introducing a remote workers visa. Its leaders have reopened or improved diplomatic links and made major investments and trade agreements with several different countries.

Many mobility reforms were carried out so quickly in comparison to EU countries because of the differences in their governments, says Arton.

“The European Union controls the most power to change the global mobility rankings as it represents all members states,” he said. “As a result, a new visa waiver agreement with Europe can instantly boost a country’s ranking. This, however, is a double-edged sword, as the EU is a heavy machine that requires consensus from all member states before acting. ”

“Therefore,” Arton added, “it cannot act as swiftly and decisively as the UAE has done and continues to do.”

The UAE has also refrained from cutting travel ties with Russia and Belarus over the war in Ukraine, unlike many Western governments, making it a highly desirable destination for people from those countries, particularly those trying to evade sanctions. The resulting influx of people has led to a property boom, especially for the UAE’s glitzy commercial and tourism capital Dubai.

Dubai itself was recently ranked by the networking platform InterNations as one of the world’s top five cities for expats to live. Allowing easy entry for more nationalities typically means that those countries reciprocate.

“The UAE has emerged as a unique crossroads,” said Taufiq Rahim, a research fellow at the Mohammed bin Rashid School of Government in Dubai. “It is between East and West, advanced economies and developing ones, and open to all. It is hard for any country to compete with this diversity of access and thus no surprise that it would top any passport index.”

For Khalifa BinHendi, an Emirati businessman and public figure based in Dubai, the UAE passport has been pivotal to his businesses’ growth and innovation.

“As businessmen, having the strongest passport on the global stage unlocks vast opportunities and creates a culture of speed,” BinHendi said. “Speed is everything in business, the faster you are the better the results. We can travel from London to Tokyo on a course of 24 hours which gives us a unique position and sharpens our competitive edge in running our business ventures and franchises.”

“This makes us beyond proud of our nation,” he added. “It motivates us all to be better citizens and contribute to the betterment of the UAE economy and society.”

Emirati passport holders count at roughly 1.5 million, according to local media reports. The UAE is also regularly named as one of the world’s safest countries, with an extremely low crime rate.

“Europe remains a particularly strong cohort, yet the rise of passports from the Gulf states are undeniable,” a statement from Arton Capital said. The results also showed, it added, “how some passports are stagnating, such as the UK’s as a result of domestic political choices.”

Despite a war erupting in Europe and the travel-stopping consequences of the Covid-19 pandemic, countries have overall actually become more welcoming and global mobility has increased, the report said. Changing work structures including the rise of remote working have helped push this along.

“Many are considering swapping the commute to the office for life as a ‘digital nomad’,” Arton Capital wrote. “The investment such workers bring into host countries is highly attractive to many states. Consequently the world has seen a surge in the implementation of ‘digital nomad’ visas in countries around the globe, from Thailand to Estonia.”

“Though the world continues to feel the aftershocks of the pandemic, surprisingly, travelling has never been easier, with steady growth in passport power across the board, a trend that we predict will continue into 2023,” the firm wrote, adding that according to its methodology, almost every passport in the world has become more powerful in terms of its mobility.

Source: CNBC

Kenya Airways and Royal Air Maroc resume partnership after three-year halt

Nairobi-based Kenya Airways (KQ) and Casablanca’s Royal Air Maroc (RAM) have inked an agreement to restore their codeshare partnership after a three-year halt. 

The partnership was first launched in 2016 and discontinued in 2019 according to a joint statement released by the airlines. 

However, the restored agreement gives RAM passengers the option to travel to Nairobi, Zanzibar and Johannesburg on KQ’ network, while KQ passengers will be able to connect to Casablanca and Marrakech, as well as other international destinations within RAM’s network, the statement continued. 

The restored partnership between airlines will help increase connectivity across the African continent and between the two airlines’ hubs, according to Abdelhamid ADDOU, Chairman and CEO of Royal Air Maroc. 

“This partnership strengthens our connectivity to the East and South of the African continent, thanks to a long-standing reliable partner, Kenya Airways. It will enable our passengers to reach Nairobi and Johannesburg,” said ADDOU. 

Julius Thairu, KQ’s Chief Commercial and Customer Officer, highlighted the travel benefits that passengers will have access to through the connection between KQ’s Nairobi hub and RAM’s Casablanca hub. 

“We are very happy to see this partnership reactivated as it will provide our travelers with improved connectivity options between our two hubs, Nairobi and Casablanca. Our customers will be able to enjoy the financial center of Casablanca and the tourist destination of Marrakech,” said Thairu. 

According to the statement, RAM currently operates three weekly flights to Accra, Ghana from Casablanca and will add three flights through its codeshare with KQ to Nairobi, linking Accra to Johannesburg and Zanzibar. 

The partnership enables KQ to offer three weekly flights to Casablanca and Marrakech, via Accra, in addition to KQ’s current seven weekly flights between Nairobi and Accra. 

Source: Aerotime Hub

Forex crisis, diplomatic row cited as Emirates suspends Nigeria flights

United Arab Emirates carrier Emirates in October suspended flights to Nigeria over inability to access foreign exchange, bringing to a climax the lingering crisis between UAE and the most populous African country.

All other foreign airlines still operation in Nigeria are suffering a similar fate.

After many previous suspensions of operations since 2021, Emirates finally saw the foreign exchange crisis facing Nigeria as the main reason for its inability to continue with the flights.

The airline explained that its operations were hampered by the inability to access and repatriate its $85 million from Nigeria. 

This started in 2021 when the UAE mega carrier sought to monopolise the Nigeria-UAE route in flagrant disregard to a bilateral aviation safety agreement with Nigerian carrier, Air Peace.  

Emirates operated twice daily to Lagos and once daily to Abuja, recording 21 frequencies weekly but UAE restricted Nigeria’s Air Peace to only one flight weekly to Abu Dhabi instead of Dubai.

Diplomatic crisis

In a tit-for-tat, Nigeria’s federal government in December 2021 reduced Emirates’ weekly frequencies from 20 to only one flight to Abuja.

The action forced Emirates to suspend flights to Nigeria but it resumed after the diplomatic crisis was amicably settled when Dubai Civil Aviation Authorities Airport allowed Air Peace to make seven weekly flight to Dubai.

A letter by Dubai Civil Aviation Authority dated December 13, 2021 addressed to Air Peace said that in order to maintain good relations between the two countries, it had offered to block some slots for the Nigerian carrier.

Besides the flight slots crisis, UAE recently stopped visas to younger Nigerians except for those traveling on family visa, thus affecting the operations of airlines flying the Nigeria-UAE route.

Air Peace also suspended flights to Dubai from November 22, 2022 over the non-issuance of visas to Nigerians, it said in a statement.

The global downturn effecting Nigeria’s ability to sustain its foreign reserves build-up has caused another tiff with foreign airlines, forcing Emirates to abandon flights, the sixth time since July 2021.

No option

A statement by Emirates said it had no option but to suspend flights to and from Nigeria from October 29, 2022 to mitigate against further losses and to recover its $85 million trapped fund.

“Without the timely repatriation of the funds and a mechanism in place to ensure that future repatriation of Emirates’ funds do not accumulate in any way, the backlog will continue to grow and we simply cannot meet our operational costs nor maintain the commercial viability of our operations in Nigeria.”

Emirates demanded that Nigeria provides a “guaranteed mechanism to avoid future repatriation accumulation challenges and delays”.

The UAE airline had earlier reinstated flights on September 11, 2022 after the Central Bank of Nigeria (CBN) released $265 million out of the $700 million due to foreign airlines to settle outstanding trapped funds from ticket sales.

“Emirates welcomes the CBN move to release a portion of our blocked funds,” said the airline’s Public Relations Manager Rula Tadros in a statement.

Resumed flights suspension

However, the airline resumed the suspension of flights in October to force the CBN to release the last tranche of the funds to foreign airlines.

The suspension has impacted on the thousands of passengers who fly Emirates.

With an average of 350 passengers per flight, Emirates transports 15,120 travellers from and into Lagos and Abuja every week.

But these passengers have alternatives.

The travellers to Dubai are currently using other foreign airlines including Egypt Air, Air France, KLM, Ethiopian Airlines, Rwanda Air and Etihad.

“Why should the airline shut its services while others from the same region are operating?’’ wondered Mr Adams Abdullahi, a travel agent who is unhappy with the decision by Emirates.

“I think there is still a big diplomatic row which the airline is not telling Nigerians.”

Foreign exchange crisis

The lingering foreign exchange crisis has impacted negatively on the domestic and international airlines over the past few months.

The International Air Transport Association (IATA) says international airlines have been unable to repatriate funds since July 2022.

Stakeholders are not happy with the situation in the aviation industry, advising the Nigerian central bank to allow foreign airlines access their funds.

Mr Olumide Ohunayo, the head of research and corporate travel at Zenith Travels and Tours, said the CBN is not doing the airlines any favour by releasing the foreign currency to them.  He said CBN has to pay airlines what they are owed in dollars. 

“The rule says that at every day of sales after the airlines have paid their local taxes and charges, the remaining revenue should be remitted based on the exchange rate for that day.”

“So, delaying it for some time gives us a bad name and makes our credit worthiness in the international market doubtful.  It doesn’t give us a good rating,” he said.

No dollars law

But the CBN has explained that there is no law mandating it to provide dollars to foreign airlines.

CBN Governor Godwin Emefiele said Nigeria is determined to help airlines clear the foreign exchange backlog but insisted that the bilateral air services agreement did not mandate foreign airlines to repatriate all their dollar earnings out of the country. 

“The sector has always enjoyed priority allocation. We have always granted them the priority that they desire because we know people want to travel and they don’t want to be constrained by the need for them to travel.

“In spite of this, we have seen that the number of travels or naira value of tickets issued by the airlines has increased. We decided to release $265 million when the pressure was building aggressively. We will do everything possible and are determined to clear the backlog,” he said.

“No law makes it compulsory that you must buy your dollars from the central bank. When you put money in your account, what it means is that you tell your bank to buy your dollars,” he added. 

Mr Emefiele urged countries where foreign airlines are domiciled to provide equal landing slots to Nigerian carriers to prevent dollar repartition issues.

With Emirates out of the scene and with the patronage of other airlines, Nigerians are visiting Dubai through neighbouring African countries which they say is cheaper.

Some of the countries that are taking advantage of the flights’ suspension include Ghana, Benin and Kenya. This has caused a lull on the highly lucrative Nigeria-UAE route as airlines and travel agencies continue to count losses.

Source: The East African

Rwanda gains Category 1 FAA rating, opening up direct routes with the US

The Republic of Rwanda has achieved an International Aviation Safety Assessment (IASA) Category 1 rating, according to a recent Federal Aviation Administration (FAA) announcement.  

The Category 1 rating recognizes Rwanda’s civil aviation authority as compliant with ICAO standards and allows Rwandan air carriers to operate services to the United States, according to a statement released by the FAA.  

“Under a Category 1 rating, properly authorized Rwandan air carriers are permitted to serve the United States and enter into code-share agreements with U.S. carriers without limitation,” the FAA noted.  

The FAA explained that its IASA program “focuses on a country’s ability to adhere to international aviation safety standards and recommended practices.”   

“The standards are set by ICAO, the United Nations’ technical agency for aviation,” the FAA continued.  

Direct flights to and from the US for Rwandan airlines  

The FAA announcement is favorable for Rwanda-based airlines, such as RwandAir, should the Rwandan national carrier seek to expand its international network or add codeshare partnerships with US airlines. RwandAir currently serves the US market through a codeshare partnership with Qatar Airways.   

According to a statement issued by the airline on December 2, 2021, RwandAir According to a statement, RwandAir commenced direct flights to Hamad International Airport (HIA) in Qatar on December 2, 2021, facilitated by the codeshare deal signed with Qatar Airways on October 5, 2021.  

The codeshare deal enabled customers to fly to different cities like New York, Washington D.C., Dallas and Los Angeles, London, Zurich and Madrid, Singapore, Kuala Lumpur and Bangkok.  

This also follows Qatar Airways’ announcement that it had a 49% stake in RwandAir.   

However, the Kigali based airline may take a similar approach to its service of the US market following the launch of its direct non-stop between London Heathrow and Kigali from November 6, 2022.  

RwandAir operated flights to London via Brussels for five years before launching direct non-stop flights to London Heathrow Airport.  

Source: Aerotime Hub

Why you should travel like a local

Traveling is one of way of escaping the hustle and bustles of life.  However, there are two ways to travel; either be an original tourist who loves to enjoy all the luxuries, do all the touristy stuff and leave or travel like a local who really wants to understand the environment and immerse yourself in their culture.

While one shouldn’t feel any guilt opting to travel like a tourist, it’s always a satisfying experience to travel like a local and get to know your environment more. From my experience of travel, I have noted that traveling like a local always saves money, makes you meet more people and above all, one gets to support the local economy.

Find out how the locals do things

But to be able to do so, one must first ask themselves and research on how locals in the destination of where they desire to travel to behave and do things. Unless you ask yourself such questions, you will behave like a tourist while desiring to immerse yourself in experiences.

Ask yourself what kind of experiences you like? What kind of people would you like to meet? Where would you like to go? or What food would you like to eat? Researching your destination will not only help you know what to expect and look for in a destination, but it will also enable you strike conversations with strangers and know the kind of questions to ask for to find the right experiences.

Only pack what you need

Once you find the right destination, don’t overschedule your days while packing. Add a little bit of spontaneity to it by just packing what you need and leaving the rest to chance. Over packing is acting like a tourist. You should pack in the same manner that you would when visiting your friend or family, with less of the pricey clothes and more of your regular ones so long as they respect the weather and the customs of the destination that you are heading to.

I’ve realized that over packing sometimes induces anxiety and makes one not enjoy the moment or their vacation in a place.

Learn the local language

The first thing to learn is the local language and customs. Learn how to say hello, sorry and often say this whenever you go to the shops, travel by bus, or meet someone in the streets. This will assist you in case you are stranded and have no means of communication. It will also build your image before the locals and make you look in tune with your surroundings.

If you go to Rome do as they do. One of the things that has assisted me in hacking this is having an open mind and knowing that traveling is all about learning. If you travel to a place with a strong coffee culture like Ethiopia where you will find people seated outside taking local coffee or outside on a patio, try get some even if you are not a fan. If you want to experience the city as a local, you must act like one by accepting to embrace the cultures unless.

Learn the dos and don’ts

One must learn the dos and don’ts of being in that place. For instance, if you find yourself on a vacation in a Muslim country, drink, and dress modestly. Also, don’t approach member of the opposite gender as there are stricter rules that govern social interaction in most of these countries. Learn what the law says about traffic or which side to drive, and it will save you from going to jail in a foreign land. Learn what to do when going to sacred places and respect people regardless of what you think of their culture. Have an open mind to learn instead of judging and criticizing their way of life.

Take Public transport

Take Public Transit instead of an Uber or taxi as it is not only cheap, but one can interact with the locals directly. I’ve realized that striking a conversation with a local in a bus will make you learn a lot about the current issues and what to avoid during your visit. However, only try this in places where people are friendly and where public transport is available.

Homestays

Another way of traveling like a local is staying at someone’s just instead. Inventions like Airbnb and coach surfing have really been key in not just offering affordable accommodation but also making travelers feel like locals whenever they visit a place. You can stay with a friend as you explore the destination as well. However, should you opt for this, always ensure that you carry shopping and assist in the expenses of the house for the period that you will be with your host.

Once you find a great accommodation, the next thing you need to do is throw away all your list of to do things and ask the locals to recommend a place for you. Having a list makes your travel all about sight-seeing like a tourist and never about absorbing what is happening around you. Get lost in the destination, get your map, and try out new places because sometimes in doing this, you’ll be able to bump into a beautiful place.

Visit the local market

Visit the local market and not the supermarket whenever you are trying to buy food stuff. You will find fresh produce, local crafts and get to meet the locals and learn about them through observation and conversing with them. One thing to add though, if you can travel to the market with a local, then do. They can help when it comes to bargaining prices and avoiding exploitation.

In a nutshell

An important thing to note is that you should not travel during the tourist season. Traveling during seasons like Christmas and Easter make you look like a tourist and pay like a tourist. While at it always ensure that you seek recommendations from locals on where to travel.

Wherever you are from, you probably have an idea of some special places you would recommend to visitors. You will discover that some of their experiences are unique, and they have better ways of enjoying it plus an affordable way of doing it. These experiences are most likely not in guidebooks or may seem strange at first. If you happen to come across some friendly locals while on vacation, ask them for some suggestions. They may tell you about a delicious restaurant or a beautiful park. They could also tailor their suggestion to your personal interests. Locals are an important source of knowledge when travelling.

Source: Zurulink Africa

270 Planes By 2035: Ethiopian Airlines Wants To Double Its Fleet

Ethiopian Airlines has announced a progressive goal to expand its fleet and enlarge its network. The airline’s “Vision 2035” plans, confirmed last week, will introduce more than a hundred new aircraft to its fleet.

Additionally, Ethiopian plans to add more cities to its network, totaling its destination network to more than 200 by 2035. The Star Alliance carrier is currently the largest airline in Africa and has a sizeable operation between Africa and Asia.

Becoming more profitable

Mesfin Tasew, CEO of Ethiopian Airlines, spoke to the Ethiopian News Agency about the carrier’s strategic plans to grow.

“In vision 2035, we have aimed to nearly double the number of destinations that we will be flying by increasing the number of destinations from 131 today to 207; and to cover this expansion, we have planned again to double the number of aircraft in our flight from 140 to 271. We have planned to carry 65 million passengers and 3 million tons of cargo. We aim to generate 25 billion USD revenue by 2035.”

The new plan comes as the airline has already achieved its goal for 2025. Tasew said vision 2035 would sustain the carrier’s fast and profitable growth. Ethiopian has been recognized as the most reliable and financially successful airline in Africa, domestically and internationally.

Evaluating and welcoming new aircraft

Ethiopian will reportedly make a final decision on what exactly its fleet growth will entail in the coming months. Tasew said the airline is actively looking at new Airbus and Embraer family aircraft to bridge the capacity gap between its Boeing 737 and De Havilland Dash 8-400 aircraft currently in its fleet.

“Currently, we are conducting a fleet evaluation on the narrowbody side for 100-seater aircraft: the Airbus A220 and Embraer 195 E2,” the CEO said.

The carrier will welcome its 19th Airbus A350 to its fleet by the end of the month. In July 2016, the carrier became the first airline to operate the A350 in Africa. This past summer, Ethiopian confirmed that it upgraded four existing Airbus A350-900 orders to the larger A350-1000 variant.

The carrier is also looking to add more freighter aircraft to support its cargo operation. There are 14 cargo planes in its fleet consisting of Boeing 737-800BCF, 767-300BCF, and 777F models. With the A350 already in its fleet, Tasew said the airline plans to consider the A350F.

Harmonizing a cost-effective fleet

When expanding its fleet, Ethiopian has to consider the number of aircraft types it operates. From regional planes that seat 70 to widebody jets seating up to 300, the airline has a fleet of variety, using six aircraft types. Tasew said too many types could cost the airline, according to Sam Chui.

“The concern is, two different aircraft models of the same size will increase complexity and costs in terms of pilots, maintenance etc.,” Tasew said. “When we add either Embraer E195 or Airbus A220, we would have a seventh type in our fleet. We want to be careful in further fleet evaluation.”

In addition to the A220, the airline has reportedly evaluated the A321XLR but concluded that it is not cost-effective compared to its current fleet of Boeing narrowbodies.

“We hear that it [A321XLR] is an excellent aircraft. Unfortunately, on the narrowbody side we operate more than 30 737s, which will grow probably to 50 by adding more 737-8s,” Tasew said. “Our strategy is to have cost leadership, and to have this, you have to harmonize your fleet and to operate fewer aircraft models,” Tasew said.

Ethiopian expects to solidify its fleet expansion plans for both narrow and widebody planes by the first half of 2023.

Source: Simple Flying

Dubai tops cities with highest spending by international tourists, WTTC says

Dubai has topped the list of cities with the highest spending by international visitors this year, pulling ahead of Doha and London in the top three places, the World Travel and Tourism Council (WTTC) said.

The Gulf tourism and finance hub has raked in $29.4 billion in international visitor spending so far this year, overtaking Doha where tourists spent $16.8 billion and London with $16.1 billion, WTTC said in its latest Cities Economic Impact report.

The cities that have recovered best, compared to pre-pandemic levels of 2019 in terms of international visitor spending, are Doha with a 21 per cent rise in tourist spend, Orlando, Florida, with a 19 per cent increase and Antalya in Turkey with 15 per cent.

“It was in 2022 that cities began their true recovery, as travel restrictions were lifted and demand for international travel returned,” said Julia Simpson, president and chief executive of the WTTC.

“As tourism recovers, overcrowding in some destinations is a risk. It is, therefore, important for cities to have the right policies in place to address it. Such policies ought to be enacted in advance before the problem comes to fruition.”

The report, which was released at the WTTC global summit in Riyadh this week, analysed 82 international city destinations and found that their tourism sectors’ recovery was well under way after the Covid-19 pandemic that paralysed travel for nearly three years.

According to the report, 10 of the 82 cities analysed are projected to exceed pre-pandemic levels in terms of direct travel and tourism gross domestic product contribution to their economies this year.

Doha is forecast for the largest increase from 2019, in terms of travel and tourism sector’s contribution to the city’s GDP, with an expected increase of 21 per cent.

In Europe, Warsaw is expected to record a significant 14 per cent increase, while in the US, Orlando is projected to post a 10 per cent increase over the same period.

The cities forecast to record the largest direct travel and tourism contribution to GDP this year are Paris with $36 billion, Beijing with $33 billion and Orlando with $31 billion, the report showed.

The travel and tourism sector will directly generate up to 8 per cent of all jobs by 2032 in the cities analysed, up from 6.6 per cent in 2019 and a low of 5.1 per cent in 2020, underscoring the importance of city tourism in driving economic growth, the WTTC said.

This year, direct jobs in travel and tourism are expected to return to 2019 levels in 11 cities including Rio de Janeiro with 18 per cent growth, followed by Johannesburg and Chicago with 13 per cent growth each.

The travel and tourism industry will generate 126 million jobs globally over the next decade, becoming a critical driver of economic growth with its contribution to GDP growing faster than other sectors, according to the WTTC.

From this year to next, the strongest annual average growth in direct travel and tourism GDP is expected to be concentrated in the Asia-Pacific with Hong Kong, Bangkok and Jakarta being the top performers, the report suggested.

The Saudi Arabian cities of Riyadh and Jeddah are also expected to register strong growth, according to the report.

“For millions of tourists around the world, major cities remain iconic global destinations. There’s still a strong appetite to experience the history, culture and energy that cities offer travellers,” Ms Simpson said.

“This year cities are recovering around the world, and we forecast that cities will continue to grow and thrive over the next decade.”

Source: The National