Unlocking Africa’s aviation opportunity

The African Airlines Association's annual general meeting is currently underway in Cairo, Egypt, addressing key issues and challenges facing the aviation industry on the continent. Safety, commitments to transition to net zero for the industry by 2050, and the repatriation of billions of dollars in blocked funds are some of the crucial topics on the agenda. Willie Walsh, Director-General of the International Air Transport Association (IATA), joined CNBC Africa to discuss the industry's current landscape and future prospects. Walsh highlighted the progress the industry has made while acknowledging the challenges it still faces, such as high infrastructure and jet costs, as well as a lack of adequate infrastructure across Africa. Despite these obstacles, the outlook for the industry remains positive, with a focus on enhancing sustainability measures and safety standards. One of the key focuses of the discussion was the industry's commitment to transitioning to sustainable aviation fuel to achieve net-zero emissions by 2050. Walsh emphasized the importance of balancing financial and environmental sustainability, noting the significant role sustainable aviation fuel will play in achieving industry-wide carbon reduction goals. He urged governments to incentivize the production of sustainable aviation fuel, leveraging Africa's abundant renewable fuel sources to drive growth in the sector. The issue of blocked funds in the industry was also addressed, with Walsh highlighting the detrimental impact on airlines' operations and ticket pricing. He emphasized the importance of repatriating these funds to ensure financial stability within the industry. Additionally, safety standards in African aviation were discussed, with Walsh commending the progress made while calling for greater adoption of international safety standards by African governments. He emphasized the collaborative nature of the industry in ensuring safe and secure flying for passengers, underscoring the need for continued improvements in safety protocols. Overall, the AFRA Annual General Meeting served as a platform to address critical issues facing the African aviation industry and strategies to unlock its full potential.