Aviadev Media


AFRAA AGA 2016- key takeaways and opportunities


For those of you who were not fortunate enough to be in Victoria Falls for AFRAA's AGA this week, please allow me to share my key takeaways. The theme of the conference was "Managing the Survival and Market Recovery of African Airlines"

  • Safety is the number one priority for African aviation, in fact it is number one for aviation as an industry and we all have a responsibility to keep operations as safe as possible. 2015 was the safest year ever and 2016 has seen no fatal accidents in Africa so the measures being taken (IOSA certification through IATA for example) are having an effect. There are 29 IOSA certified sub-Saharan carriers and airlines that are IOSA accredited are 3.5 times more safe than non IOSA airlines. Therefore, all airlines should strive to achieve this certification to ensure the safest possible operating conditions.
  • Travel facilitation: 2016 saw the introduction of the pan-African passport at the AU summit in Kigali. This is due to implemented fully over the coming years, but there has been progress in visa facilitation with 13 African countries offering visa on arrival to African residents. Now the challenge is to reduce or eliminate the costs associated with visas and roll this out across the other 41 countries. 
  • Infrastructure: We have all read about the predicted growth trajectory for Africa, but the challenge is securing investment in the infrastruture that will have to accommodate this growth. This event took place in Victoria Falls and the new International Airport was inaugurated on Friday 18th November. Rwanda will break ground on a new airport in 2017, Uganda have announced an upgrade and Addis will also grow to cope with the current passenger throughput.
  • Taxation/high costs: Fuel in Africa is 2.5 times the world average and passenger charges can be up to $150/pax vs the global average of $25. 
  • Currency Issues: Lack of Forex leading to blocked funds. 2016 has seen currency problems across countries that are heavily reliant on commodity revenues, for example Angola and Nigeria. This is due to the fact that the economies have opted to artificially maintain their currency's value and then have suffered severe immediate depreciation upon removing the peg.
  • Peace on the continent. There is terrorist activity in some pockets of Africa, but the continent is at relative peace and this is conducive to a strong aviation market.

Opportunities for 2017 and beyond:

1.    NDC (New Distribution Capability). Mr Raphael Kuuchi, VP Africa at IATA announced that to date, 26 airlines globally have implemented NDC but none of these are African. Find out more on IATA's website:

2.    Fast travel. Using mobile boarding passes and self tagging.

3.    Liberalisation. June 1st 2017 is the date set for open skies and 11 countries have commited to implementation. These countries represent 75% of Intra-African passengers and a combined population of 600 million.

2017 is 29 years since the Yamoussoukro decision was signed to open the skies in Africa, so to say this is long overdue is an understatement. Madame Iyabo Sosina, Secretary General of AFCAC (African Civil Aviation Commission) provided a strong message. 'If you are an airline sourcing protection, you will have no choice but to allow progress'

4.    Oil prices. Global oil prices are predicted to remain low for the foreseeable future. If Africa can organise a method of making its supply more efficient and perhaps governments lower taxation to catalyse the industry, this lower cost can be delivered to the end user. 

There were over 550 high level industry delegates in attendance. Many thanks AFRAA for the opportunity to participate.

Press Releases

19 Jun 2017 AviaDev Africa Will Challenge the Status Quo
07 Sep 2016 Rezidor’s CEO hails inaugural AviaDev conference that will discuss issues facing travel in Africa
12 Jul 2016 NEWS RELEASE: AHIF to probe crucial issues for hotel investment in Africa -Raising capital l Africa as an investment destination l Infrastructure l Political and security risk
11 Jul 2016 State of hotel investment in Africa: headwinds and opportunities
11 Jul 2016 JLL appoints investment banking expert Philip Ward as EMEA CEO of its Hotels & Hospitality Group
11 Jul 2016 CityBlue Hotels Appoints Vernon Page as COO
11 Jul 2016 CityBlue Hotels to Open Property in Bujumbura, Burundi
11 Jul 2016 Starwood set to debut Four Points by Sheraton brand in Tanzania with two hotel signings
11 Jul 2016 Carlson Rezidor announces its 3rd hotel in Mauritius
11 Jul 2016 Carlson Rezidor continues to lead Africa’s hotel pipeline
11 Jul 2016 Carlson Rezidor launches Quorvus Collection in Africa welcoming The Emerald Grand Hotel & Spa, Lagos
11 Jul 2016 Carlson Rezidor enters Zimbabwe with Radisson
13 Jun 2016 Africa Hotel Investment - Cairo and Cape Town on Top
03 Jun 2016 AHIF: Togo sets pace for new era of growth
10 May 2016 Ibis Styles is number one brand for planned hotels in Africa
05 May 2016 Summer flight bookings to Africa - 6% ahead of last year
28 Apr 2016 YCI to Partner with Bench Events to Bolster Ambitious Growth Plans
25 Apr 2016 So how much does it cost to build a hotel in Africa? New report sheds light on cost per key across the regions...
11 Apr 2016 Hotel development in Africa jumps 30% to 64,000 rooms
29 Mar 2016 New dates for AHIF in Togo: 21-22 June
17 Feb 2016 Togo’s Prime Minister Will Attend AHIF
03 Feb 2016 AviaDev Africa - Ready For Take-off - Unique opportunity to connect aviation and hotel sectors
14 Jan 2016 Togo To Host Additional AHIF in 2016
17 Nov 2015 Hotel development on the horizon for Cameroon
01 Oct 2015 Revealed – The Top Ten Hotel Investment Opportunities in Africa
01 Oct 2015 Mövenpick Hotels & Resorts to debut in East Africa with upscale Kenya property.
01 Oct 2015 Mövenpick Hotels & Resorts to open first Cote d’Ivoire property in 2018.
01 Oct 2015 Mövenpick Hotels & Resorts steps up African expansion campaign with three new Sub-Saharan properties.
01 Oct 2015 Hotel Real Estate Sector in Africa Set for Strong Growth
30 Sep 2015 Marriott International Opens First Marriott Executive Apartments Property In Africa
30 Sep 2015 Mövenpick Hotels & Resorts inks landmark deal for its first property in dynamic Nigeria.
30 Sep 2015 Starwood Hotels & Resorts Accelerates Growth In Africa And Indian Ocean With Seven New Deals
30 Sep 2015 Carlson Rezidor further expands its strong presence in Africa
30 Sep 2015 Hilton Worldwide Announces Agreement for Hilton Awassa Resort & Spa, Ethiopia
28 Sep 2015 Outlook bright for African hotels as steady growth gets underway
14 Sep 2015 Travel to Lagos Bounces Back
04 Sep 2015 Africa’s Highest Hotel Price Point is Addis
27 Aug 2015 International Hoteliers Bet on Lagos
30 Jul 2015 Doing business in Africa - The challenges and opportunities
08 Jul 2015 Rwanda to host Africa Hotel Investment Forum in 2016
25 Jun 2015 Hilton Heads Hotel Development Boom in Africa
24 Jun 2015 Hilton Heads Hotel Development Boom in Africa
03 Jun 2015 Hotel Development in Africa Accelerates to 50,000 Rooms
11 May 2015 Hotel Industry Leaders Highlight Ten Priorities for Growth in Africa
03 Feb 2015 Government and Industry Leaders Express High Expectations of Hotel Investment Forum
03 Feb 2015 Brian Nourollahi appointed GM to manage the first Marriott branded Hotel in Sub Saharan Africa
11 Jan 2015 AHIF returns to Addis for 2015
02 Oct 2014 New Signings and Modular Room See Hilton Worldwide Set the Pace in Africa
01 Oct 2014 Best Western International Inc., announces BEST WESTERN PLUS Abyssinia and BEST WESTERN Noah Hotels in Addis Ababa, Ethiopia
30 Sep 2014 Accor, leading player in Africa, carries on its development on the continent.
30 Sep 2014 Mangalis Unveils New Hospitality Solutions for the Fast Growing African Market and Beyond
30 Sep 2014 Jumeirah Group appoints Aboudi Asali to head MEASA Development Team
30 Sep 2014 Marriott International's Commitment to Expansion Across Africa Gathers Momentum
30 Sep 2014 IHG Expands in Africa with First Hotel in Ethiopia
30 Sep 2014 Worldhotels Enters into Sub-Saharan Africa
02 Sep 2014 Ethiopia – a Destination Crying Out for New Hotels
23 Jul 2014 Business Leaders Share Tips for Doing Business in Africa
02 Jul 2014 AHIF Programme Is Reaching New Heights
02 Jun 2014 Africa Hotel Investment Forum 2014 (AHIF) moves to Addis Ababa
14 May 2014 Carlson Rezidor Leads the Race to Build Hotels in Africa
15 Apr 2014 Hotel Development Pipeline in Sub-Saharan Africa Overtakes the North
03 Mar 2014 Hotel Partners Africa Launches Recruitment Service
27 Feb 2014 Hotel Sector Set to Create 320,000 New Jobs in Africa
25 Feb 2014 AHIF Returns to Nairobi
01 Oct 2013 African hospitality group Mangalis to invest €315m developing hotels in Africa
28 Sep 2013 Kempinski Hotels focuses portfolio expansion on Africa
25 Sep 2013 Hotel Industry Takes a Stand Against Poaching
24 Sep 2013 Travel & Tourism drives peace in the war against terrorism
23 Sep 2013 Nairobi Hotel Conference Proceeds as Planned
17 Sep 2013 Business Leaders Tweet the Secrets of their Success
13 Sep 2013 New African Hospitality Group to be Unveiled at AHIF
02 Sep 2013 Africa is a Giant Complex Game of Monopoly
30 Jul 2013 Latest Research Reveals Promising Future for Africa Despite Challenges
17 Jul 2013 Phyllis Kandie Becomes Patron of AHIF
07 May 2013 International Hotel Industry Welcomes New Kenyan Administration
20 Feb 2013 AHIF Returns to Kenya
09 Jan 2013 Investor Confidence High Following AHIF
04 Sep 2012 Oxford Professor Identifies Africa as a New Investment Hot Spot
20 Aug 2012 AHIF Will Confront Difficult Issues
09 Aug 2012 What Does It Take To Do a Hotel Deal in Africa?
23 Jul 2012 Why the Smart Money’s on Hotels in Africa
28 Jun 2012 How to Make It in the Hotel Business: AHIF Programme Launched
17 May 2012 In Sub Saharan Africa - Hotel Development Takes Off
14 Apr 2012 New Minister Becomes Patron of the Africa Hotel Investment Forum
29 Mar 2012 Hoteliers Bet on Booming Africa
10 Feb 2012 Kenya Lures Africa Hotel Investment Forum to Nairobi
22 Nov 2011 Bench Events Announces the Africa Hotel Investment Forum (AHIF)