African airlines trapped in uncomfortable expansion cycle

African airlines trapped in uncomfortable expansion cycle

African carriers cannot achieve viable economies of scale without massive fleet modernisation and cross-border expansion, yet they cannot afford aircraft or open skies without the very scale they lack, writes WOLE SHADARE For decades, the tarmac of African aviation has been littered with the ghosts of ambitious carriers that soared high, burned through capital furiously, and vanished into thin air. From the historic demise of multinational icons like Air Afrique to the perennial reorganisations of national…

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Africa’s aviation caught in ‘profitless’ growth cycle

Africa’s aviation caught in ‘profitless’ growth cycle

The phrase “more passengers” has become a bitter pill for many African airline owners. While a 6.0% surge in traffic sounds like a success story, the underlying economics of the continent act as a profit siphon, ensuring that most of that revenue never reaches the bottom line, writes WOLE SHADARE Africa’s aviation industry is defined by a striking paradox: it is home to some of the world’s fastest-growing traffic demand, yet it remains the least profitable…

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