US-Nigeria Air Transport Agreement Expected To ‘Open Skies’ Between the Two Nations

In a significant development for US-Nigeria air connectivity, the air transport agreement between the two countries, which was provisionally applied more than two decades ago, came into effect earlier this month.

While only two US airlines connect the US with Nigeria, this agreement is expected to liberalize the aviation sector further, easing the entry of more players, particularly from Nigeria.

Open skies agreement comes into force

On May 13, the US-Nigeria Air Transport Agreement came into force, establishing a modern civil aviation relationship with Nigeria consistent with US Open Skies international aviation policy.

The agreement was provisionally applied in 2000, and the current enforcement will allow unrestricted capacity and frequency of services, open route rights, a liberal charter regime, and open codesharing opportunities. The US Department of State commented, “This agreement with Nigeria is a step forward in liberalizing the international civil aviation sector in Africa and further expands our strong economic and commercial partnership, promotes people-to-people ties, and creates new opportunities for airlines, travel companies, and customers. With this agreement, air carriers can provide more affordable, convenient, and efficient air services to travelers and shippers, which in turn promotes tourism and commerce.”

Indeed, the US is home to more than 500,000 Nigerian-born US citizens and legal residents and 17,000 Nigerian students. This move seems to be in the right direction, strengthening these ties even further and creating new economic opportunities.

Only US carriers currently fly between the two countries

For anyone looking to fly non-stop between Nigeria and the US, there are currently only two options. United Airlines flies thrice weekly between Washington Dulles International Airport (IAD) and Lagos’ Murtala Muhammed International Airport (LOS), while Delta flies daily to Lagos from Hartsfield–Jackson Atlanta International Airport (ATL).

In the absence of any Nigerian carriers flying between the two nations, some are skeptical if Nigeria can actually extract the benefit from this agreement. Olumide Ohunayo, industry analyst and Director of research, Zenith Travels told BusinessDay, “In that agreement, we were given 10 years head start advantage that Nigerian airlines can go to the USA for 10 years before the American airlines start coming. That was blown away because we didn’t even have an airline that was ready to go to the U.S. “By the time Virgin Nigeria was ready, their ownership structure and the problem they were having with the U.S. and British Bilateral Air Service Agreement stalled Virgin Nigeria from operating and till today we are still stuck with no Nigerian airlines going to the U.S. Arik tried at a time but stopped.”

Air Piece gets approval

Things could change soon with Air Peace, the largest airline in Nigeria and West Africa, receiving approval to fly to John F. Kennedy International Airport in New York (JFK) in February this year. The carrier had written to the aviation ministry in January seeking permission to start US operations and received the following reply: “Conveyance of approval to Messrs Air Peace Limited to operate commercial international flight operations into and out of New York.”

Source: Simple Flying.

Gulf countries announce unified Schengen style visa

In a landmark move, six Gulf countries have joined hands to introduce a Schengen-like unified “Grand Visa,” which will let tourists travel from one Gulf country to another without having to obtain another visa.

The Gulf Cooperation Council (GCC) announced the launch of a single tourist visa, which will be available by the end of 2024, Travel and Tour reported.

The announcement was made during the 40th meeting of GCC ministers in Oman.

Travellers obtaining this visa will have unrestricted access to Saudi Arabia, Kuwait, Qatar, the United Arab Emirates, Oman and Bahrain.

This visa is intended to promote and grow the tourism sector in the area and enhance greater collaboration among like-minded countries.

In addition, it will also give these oil-dependent countries a chance to increase revenue from non-oil sectors.

As per reports, the Grand Visa will allow tourists a minimum of a 30-day visa.

Abdullah Al Saleh, undersecretary for the Ministry of Economy, said during the panel discussion that “all GCC countries have one common market and unified policies. In the tourism sector, the GCC can benefit from both supply and demand sides by having umbrella regulations, policies, and procedures to facilitate growth.

“Now, with the increased flow of people among the GCC, it is becoming smoother with time.”

Source:  The News.

Intrepid Travel marks Kenya as part of its expansion plan

Australian adventure travel company­– Intrepid has Kenya on its cards in its ambitious expansion plan, as it targets to go into accommodation.

The firm, which prides itself as a responsible tourism company,  has announced plans to expand its operations in East Africa as part of its global ambition to double its global customers, with  target of achieving revenues of over $1 billion (Sh131.5 billion).

Intrepid, the world’s largest adventure travel company and leader in responsible tourism, currently employs 30 office staff and 120 local trip leaders in the region, and each year operates 450 trips supporting almost 5,000 travellers to explore East Africa.

Intrepid Co-Founder and Chair, Darrell Wade was in Kenya on a special visit last week, to meet with key stakeholders and to highlight the importance of sustainable and responsible tourism.

 Intrepid plans to deepen its vertical integration to expand into areas including accommodation and to grow its presence in key countries including Kenya, Tanzania, Uganda and Rwanda.

Plans are in place to opportunities in lodges, camps and beach property, Darrell said.

This, as Kenya’s international tourist arrivals are projected to grow to 2.2 million this year from the 1.95 million recorded last year, as the picks from the impact of the Covid-19 pandemic.

Earnings from the sector are expected to hit Sh359.1 billion this year and further increase to Sh396.1 billion next year.

Over the next 10 years, Africa’ tourism sector is set to grow by over five per cent annually, with Kenya and her East African neighbours expected  to tap a significant number in arrivals and revenue.

“We plan to invest in East Africa’s accommodation space in the next one to two years, as we target to have multitude accommodation investments by 2030,” Intrepid Co-Founder and Chair, Darrell Wade said.

 “East Africa is home to a rich biodiversity and culture. Through sustainable travel practices, visitors engage with East Africa’s natural wonders responsibly, leaving a positive footprint for generations to come.”

According to Wade, tourism activities must emphasise responsible practices that safeguard habitats and wildlife while supporting culture and promotion of sustainable livelihoods within communities.

Key challenges include overdevelopment leading to habitat destruction, strain on local resources, cultural commodification, and carbon emissions from transportation.

The firm plans to cut carbon emissions by half in the medium-term.

“Balancing economic growth with environmental and social concerns is crucial, alongside educating travellers about responsible behaviours and fostering community involvement in tourism planning and management, ”said Wade.

During a media briefing by the firm, Tourism CS Alfred Mutua said Kenya is keen to tap Australian tourists.

“We have not really marketed Kenya in Australia. We have a lot of marketing to do but the plans are in place,” he said.

Australian High Commissioner to Kenya Jenny Da Rin challenged Kenya to tap the huge potential in the Australian market, where travellers made nearly 10 million international trips last year, all over the world.

According to Deloitte’s Tourism Market Outlook, Australia’s outbound travel is expected to increase to 11.6 million this year, and grow to 13.1 million by 2026.

Australian travellers spent $60 billion(Sh7.9 trillion) on trips overseas in 2022-23.

“ We are spending more and staying longer than travellers from Europe, Canada and the US. Over 22,000 Australians visited Kenya last year making Australia one of the most improved source markets. Kenya needs to tap more this market,” Da Rin said.

Meanwhile, Intrepid plans to continue with its support for the local communities the Intrepid Foundation, which has raised more than $15 million (Sh1.9 billion)for communities around the world since 2002.

 In Kenya, the Intrepid Foundation works with Patinaai Osim to create sustainable livelihoods in Kajiado County for communities ravaged by impact of climate change.

They also support the East Africa Wildlife Society, which focuses on anti-poaching initiatives in various conservancies within the larger Maasai Mara National Reserve.

Source:  The Star

Passenger Demand Up 13.8% in March- IATA

The International Air Transport Association (IATA) released data for March 2024 global passenger demand with the following highlights:

• Total demand, measured in revenue passenger kilometers (RPKs), was up 13.8% compared to March 2023. Total capacity, measured in available seat kilometers (ASK), was up 12.3% year-on-year. The March load factor was 82.0% (+1.0ppt compared to March 2023).

• International demand rose 18.9% compared to March 2023; capacity was up 18.8% year-on-year and the load factor improved to 81.6% (+0.1ppt on March 2023).

• Domestic demand rose 6.6% compared to March 2023; capacity was up 3.4% year-on-year and the load factor was 82.6% (+2.5ppt compared to March 2023).

“Demand for travel is strong. And there is every indication that this should continue into the peak Northern Summer travel season. It is critical that we have the capacity to meet this demand and ensure a hassle-free travel experience for passengers. That means making urgent progress to resolve supply chain issues and for airports and air traffic management to be fully staffed and operating at maximum efficiency. While airlines are prepared for customer care and assistance when operational issues arise, they are fed-up of bearing the cost when delays and cancellations are the result of poor preparation in other parts of the value chain,” said Willie Walsh, IATA’s Director General.

Regional Breakdown – International Passenger Markets

All regions showed strong growth for international passenger markets in March 2024 compared to March 2023. The load factor performance was patchy, falling year-on-year in three of the six regions.

Asia-Pacific airlines continue to lead with way, with a 38.5% year-on-year increase in demand. Capacity increased 37.4% year-on-year and the load factor rose to 85.6% (+0.7ppt compared to March 2023), the highest among all regions. Major routes from Asia-Pacific display outstanding growth, although the number of scheduled air services from China to North America is still only 16.5% of pre-pandemic levels.

European carriers saw an 11.6% year-on-year increase in demand. Capacity increased 11.4% year-on-year, and the load factor was 79.9% (up just 0.1ppt compared to March 2023).

Middle Eastern airlines saw a 10.8% year-on-year increase in demand. Capacity increased 13.9% year-on-year and the load factor fell -2.1ppt to 77.5% compared to March 2023.

North American carriers saw a 14.5% year-on-year increase in demand. Capacity increased 14.8% year-on-year, and the load factor fell to 84.7% (-0.2ppt compared to March 2023).

Latin American airlines saw a 19.7% year-on-year increase in demand. Capacity climbed 18.3% year-on-year. The load factor rose to 84.3% (+0.9ppt compared to March 2023).

African airlines saw an 8.1% year-on-year increase in demand. Capacity was up 11.0% year-on-year. The load factor fell to 70.3% (-1.9ppt compared to March 2023).

Domestic markets

Domestic demand increased at a slower pace in March, moderating to typical pre-pandemic growth rates. China (+17.6% compared to March 2023) continued to be the leading market. Other markets showed stable growth with the exception of Australia. Its drop in growth may reflect the wider economic slowdown in Q1 in the country.

Source: Voyages Afriq

Kenya Airways suspends DR Congo flights in protest over detained crew.

Kenya’s national carrier Kenya Airways has suspended its flights to Kinshasa, citing the continued detention of its crew by the Democratic Republic of Congo (DRC)’s military over a controversial consignment of banknotes. In an update on Monday, the airline said the suspension will take effect from Tuesday, pointing out difficulties in supervision and support of its operations in Kinshasa.

“Due to the continued detention of KQ employees by the Military Intelligence Unit in Kinshasa, Kenya Airways is unable to support our flights without personnel effectively. As a result, we reached a difficult decision to suspend flights to Kinshasa effective April 30, 2024, until we can effectively support these flights,” said the carrier’s managing director, Allan Kilavuka, in the notice.

“The continued detention of our employees has made it difficult for us to supervise our operations in Kinshasa, which include customer service, ground handling, cargo activities, and generally ensuring safe, secure, and efficient operations.”

The move by KQ is set to benefit other airlines servicing the Nairobi-Kinshasa route, including Ethiopian Airlines, Precision Air, ASKY Airlines, and South African Airways.

Last week, Mr Kilavuka said two of the airline’s staff were arrested and detained on April 19, 2024, over alleged missing customs documentation on valuable cargo which was to be shipped on a KQ flight on April 12, 2024.

The cargo in question, however, was not uplifted by the carrier or accepted by them due to incomplete documentation.

Mr Kilavuka said military officers in Kinshasa took the two employees to the military side of the air wing to record statements, but they were held incommunicado until April 23 when the embassy officials and a KQ team were allowed to visit them.

Though DRC officials are yet to comment on the matter, sources told The EastAfrican newspaper that the case is about transportation of $8 million that was seized before being loaded on the KQ plane.

A local newspaper reported that a commercial bank attempted to export the money “clandestinely without the knowledge of the security services”.

The bank cited by Congolese media, TMB Bank, dismissed the allegations, saying “an operation to export banknotes in foreign currencies, which moreover, is a common practice of commercial banks and therefore does not constitute an offence as insinuated by certain journalists who, unfortunately, and for reasons of their own, refrained from investigating the various departments involved in such as operation”.

“Our bank has complied with all the formalities required for this operation, which is not the first of its kind and is inherent to the operation of banks, particularly for notes unfit for circulation, either because of their condition or because of their series,” TMB Bank further said.

Diplomatic tiffs

The recent developments have turned the spotlight on intermittent diplomatic tiffs between the two countries. In December last year, DRC recalled its ambassador to Nairobi after summoning the Kenyan envoy in Kinshasa in protest against the creation of a new coalition of Congolese rebels in Nairobi.

At the heart of the conflict was the creation of a new coalition of rebel leaders that was announced in Nairobi by the former president of the Independent National Electoral Commission (Ceni), Corneille Nangaa.

Kinshasa reacted swiftly by recalling its envoy, John Nyakeru, from Nairobi and ordering Kenya to explain the incident.

Source:   The East African

Ethiopian Airlines Bridges Africa and Europe with New Warsaw Service

Ethiopian Airlines, Africa’s largest network carrier, expands its European reach with the launch of a new route to Warsaw, Poland. This exciting development, announced in April 2024, will connect Addis Ababa, Ethiopia’s capital, to Warsaw with a convenient stopover in Athens, Greece. The inaugural flight is scheduled for June 16, 2024, offering passengers a four-times-weekly service. This new route strengthens Ethiopian Airlines’ presence in Europe, bringing its total European destinations to 24. Passengers flying from Warsaw can now enjoy seamless connections to over 60 destinations across Africa, furthering the airline’s mission to bridge the continent with the globe.

The service will operate with a Boeing 737 MAX 8 aircraft, featuring a comfortable two-cabin configuration with 16 seats in business class and 144 seats in economy class. This modern and fuel-efficient aircraft ensures a pleasant travel experience for passengers on both legs of the journey. This expansion aligns with Ethiopian Airlines’ strategic plan to boost commerce and tourism not only within Africa but also between the continent and Europe. The new Warsaw route provides travelers with a convenient and reliable option for business trips, family visits, or exploring the vibrant cultures of Ethiopia and Poland.

Mesfin Tasew, Group CEO of Ethiopian Airlines, expressed his enthusiasm about the new route: “We are truly excited to further grow our presence in the European market with yet another new destination. This development is in harmony with our strategic intent to bridge Africa with the globe while fostering commerce and tourism within the continent.”

The addition of Warsaw to Ethiopian Airlines’ network strengthens the airline’s position as a key player in global aviation. Passengers can now book their flights to Warsaw via Athens on Ethiopian Airlines’ website or through their preferred travel agent. With its commitment to providing a gratifying journey experience, Ethiopian Airlines is poised to welcome travelers onboard and connect them to exciting new destinations.

Source: Aero News Journal

Hyper-personalization: Will it contribute to sales and the travel industry in 2024?

As hyper-personalization goes beyond the usual strategies that have been used so far to benefit travel needs, there are advances in artificial intelligence and machine learning that may be able to provide the necessary services that travelers need.

Martin Eade from travel search and booking technology provider Vibe believes there’s a lot riding on this. “This is the holy grail of personalization and the first company to get this right will have a real first mover advantage. After all, why would customers switch from a hotel or airline that can anticipate their needs before they even know them themselves?”.

“The aim is to create strategies that make each guest feel special and unique, instead of feeling like a faceless member of a generic market segment. But before companies can achieve hyper-personalization, they need to shift their focus from the product to the client, developing a customer-centric strategy. Harnessing data will help them to understand exactly who their clients are, how they behave, and what they expect when they come to stay at a hotel, or travel on a specific airline.” commented Rubén Sánchez, CEO of the leading hotel revenue management platform BEONx.

Another way artificial intelligence can enable hyper-personalization is via automation. “Valuable, quick ‘recipes’ for automation will allow hoteliers to create predictable, reliable processes so they take their hands off keyboards and create more unique human-to-human interactions. At Cloudbeds, we’re building toward a world where AI-powered automations check out guests, trigger emails for last-minute reservations, add notes for housekeeping when a VIP guest arrives, and create in-depth reports with insights that drive better decisions. When a hotelier’s days become less manual, their guests’ personalized experience will soar.” said Adam Harris, Co-Founder and CEO of Cloudbeds. At the same time, Mr. Harris believes that hospitality technology platform powers more bookings and happier guests for independent accommodation operators around the world.

Gareth Matthews, Chief Marketing Officer at global travel distribution provider Didatravel thinks the industry might finally be in a position to offer elements of this to travelers in 2024.  As a final thought Craig Everett, Founder and CEO from Holibob, the experiences tech provider to tourism boards and online travel sellers, comments that hyper-personalization might lead to a related new trend: hyper-localisation. “Not only do these new technologies empower travel companies to develop a more intricate knowledge of their traveller, but they also fast-track deeper contextual understanding of their interests in relation to their destination. This has the opportunity to unlock a level of hyper-local, hyper-relevant online recommendations that could finally push the experiences sector into the online realm.

Source: Money-Tourism.gr

Dubai airport: Full schedule resumes after flooding chaos

Dubai’s major airlines say they have resumed a full flight schedule after torrential rain hit the United Arab Emirates and neighbouring countries causing chaos at Dubai airport.

Emirates and flydubai said operations were back to normal on Saturday but a passenger backlog remained.

The boss of Emirates said the airline’s response was not perfect.

The storm battered the UAE on Tuesday, causing flash floods and bringing travel through the airport to a halt.

Priority will be given to passengers whose travel plans had been disrupted.

A flooded taxiway meant planes were unable to reach the runway to take off and passengers were left stranded in the terminal building,at Dubai International Airport.

The president of Emirates, Sir Tim Clark said: “Passengers previously stranded in the airport transit area have been rebooked and are en route to their destinations.”

The open letter posted on the airlines’ website on Saturday, announced that regular flight schedules had been restored, but it would take them “some days” to clear the backlog of rebooked passengers. A taskforce has also been established to sort and deliver the around 30,000 pieces of luggage left behind.

“We ask for our customers’ patience and understanding,” Sir Tim said. Apologising to their customers, he acknowledged that their response was not “perfect”, citing a lack of information and confusion in the terminals.

Earlier this week, air passengers stuck at the airport told the BBC of the “pure chaos” they saw.

Sarah Jane Cahill from Dublin, had planned to board her connecting flight from Sydney to Dublin on Thursday afternoon, but was still at the airport on Friday night.

She said that “thousands are stranded” and that the airport was “a sea of bodies on every surface”.

“There were people in chairs, couches, on the floor outside bathrooms, sleeping on cardboard,” she told the Press Association.

Over the past three days, the airline has cancelled nearly 400 flights and delayed many more.

Some inbound flights resumed on Thursday, while outbound flights continued to be delayed. They later announced that check-in was open at Terminal 3 for Emirates and flydubai flights.

Flydubai’s travel update on Saturday said they had returned to operating its full flight schedule from Terminal 2 and 3, with priority over the next few days to be given to their “passengers whose travel plans have been impacted.”

Similarly, Emirates said their focus was on those who have faced travel disruptions.

Sir Tim added they had suspended check-in for departing passengers, embargoed ticket sales and stopped connecting passengers from arriving to make sure the focus was on affected customers.

With flights running on their regular schedules, Paul Griffiths, the head of Dubai airports, said departure flow is “improving”.

Dubai International Airport is the world’s second busiest airport, serving more than 80 million passengers in 2023. This year, nearly 90 million are expected to pass through the hub, which is a major connecting point between Europe and Asia.

Source: BBC

Navigating the Future: Empowering Travel and Tourism Through Online Payments

18 Apr 2024 – By Bryan Obala.

In the fast-evolving landscape of travel and tourism, the role of online payments has become more vital than ever before. Projections indicate that by 2033, the industry will soar to a staggering $15.5 trillion, contributing significantly to the global economy bloomberg. Particularly in developing markets across Africa, where new destinations are emerging as hotspots, the potential for growth in the travel industry is immense.

To capitalize on this growth, travel merchants must align with consumer expectations by offering seamless and reliable payment systems, with online sales projected to constitute 74% of total revenue by 2027. Here are five essential strategies that can help travel merchants meet these increasingly high consumer demands:

  1. Transparency: Be clear and specific about the payment options available to consumers. Transparency builds trust and enhances the buying experience.
  2. Security: In an era of burgeoning travel e-commerce, robust cybersecurity measures are indispensable. Offering secure payment options helps instill confidence and protects against fraud, which saw a concerning 156% increase in the global travel and leisure industry in 2021.
  3. Convenience: Tailor payment options to meet consumer preferences. Personalized services, including currency options and bundled offerings like travel insurance, enhance convenience and satisfaction.
  4. Reliability: High authorization rates are key indicators of success. Optimizing authorization rates not only drives incremental revenue but also fosters customer loyalty and repeat business. Even a slight improvement in authorization rates can translate into significant additional revenue, enabling businesses to fund expansion and innovation initiatives.
  5. Flexibility: Embrace Buy Now, Pay Later options to accommodate the diverse financial needs of travelers. Offering flexible payment solutions encourages purchase completion and enhances the overall shopping experience.

Looking ahead, the future of travel and tourism is brimming with possibilities. As businesses chart their course forward, prioritizing transparency, security, convenience, reliability, and flexibility will be paramount. By embracing these principles, merchants can navigate the dynamic landscape of global travel and ensure that everyone reaps the economic benefits of this thriving industry.

Accessible Tourism Emerges as A Vital Growth Opportunity for Africa’s Travel Industry.

The untapped potential of inclusive tourism to drive the growth of Africa’s travel industry was in focus at this year’s Africa Travel Week 2024 part of WTM Africa. A diverse panel of advocates, experts, and tourism suppliers engaged in a discussion, highlighting the significant economic benefits that travelers with disabilities can bring to the continent.

Inclusive travel is a billion-dollar industry that Africa can tap into, and the panelist’s emphasized the unique spending patterns of this market segment. Travelers with disabilities often spend more, travel with companions, and stay for longer periods, making them a lucrative target for the industry.

According to the World Health Organization, over 1 billion people worldwide, or 15% of the global population, live with disabilities. This vast demographic encompasses a range of visible and invisible conditions, from mobility issues to cognitive and sensory challenges. As the world’s population ages, with the number of people over 60 expected to double by 2050, the need for accessible travel is only expected to grow.

“It’s not just a social imperative, it’s a financial one,” said Tarryn Tomlinson, CEO of LiveAble. “The onus is on property owners to make their facilities as accessible as possible.”

Panelists highlighted the unique challenges faced by travelers with disabilities, from a lack of information about accessible amenities to physical barriers that limit their ability to fully enjoy their travel experiences. “Disability doesn’t mean the same for everyone,” said Lois Strachan, host of podcast A Different Way of Seeing. “Needs are different, and we need to engage with them to find out what they need. Information about how you can accommodate their needs is the most important thing for travelers with disabilities.” She stated that guesthouses and hotels should incorporate this into their marketing to attract differently abled travelers. 

Jabaar Mohamed, the Provincial Director for DeafSA Western Cape, shared the specific challenges faced by deaf travelers, such as being offered wheelchairs at airports despite their hearing impairment. “It’s important for all those that work in hospitality to be trained to ask individual travelers what their needs are, rather than making assumptions,” he said. 

Panelists shared inspiring success stories and best practices from destinations and businesses that have embraced inclusive tourism. Briony Brookes, representing the City of Cape Town, highlighted the city’s “Limitless CT” initiative, which includes features like braille QR codes at street art and audio options on the tourism website.

“We want to appeal to all travelers, not only those that are fully abled,” Brookes stated. “We’ve seen fantastic results since we made small changes to showcase how we are a welcoming and inclusive destination.”

The session concluded with a call to action for the African tourism industry to recognize the significant opportunities presented by the accessible travel market and to work towards making the continent a more inclusive and welcoming destination for all.

Source:   Africa.com