A new report from Embraer on the undeveloped potential of intra-African air connections highlights the role of improving air travel in promoting economic growth and development across the continent.
According to the IATA, despite accounting for 18% of the world's population, Africa is less than 3% in global GDP and only 2.1% in global air passenger and freight traffic. This disparity is fundamental to the continent's limited area air connections and is a key bottleneck for Africa's economic and aviation development.
Released at the Aviadev Conference in Zanzibar earlier this month, the report identifies the need for more direct flights, more frequent, more efficient hubs and stronger partnerships/alliances.
It also identifies requirements for right-sized aircraft.
Africa's GDP is expected to increase by 3.8% per year over the next 20 years, with revenue passenger kilometres (RPK) growth projected to be 4.4% per year, surpassing growth rates in Europe and North America. Africa has the lowest travel trend, but growth potential is immeasurable. Development of connectivity within the region is a key driver of this growth.
However, prior to the release of the report, observers note that Africa's connectivity is being hampered by a combination of factors such as high taxes and ticket prices, fuel costs, visa requirements and central government protectionism.
Currently, 64% of the African internal market offers less than seven flights per week, indicating an important opportunity to improve connectivity, the report says. Many African origins and discarded (O&D) markets remain underserved or completely unserved by direct flight, forcing some passengers to connect distant hubs in Europe or the Middle East.
Embraer's report identifies 45 in Africa routes that are currently not available for direct flights, allowing you to maintain a single, weekly direct flight. The top 10 routes can use 100-seat aircraft to maintain at least three direct flights per week.
The report also utilizes the intra-Africa stimulus curve developed by Embraer, based on traffic data over the past decade. The data show that stimulus coefficients vary depending on the market size.
For example, in a market with 50 passengers before a direct flight opens, demand will increase by 40%. For small markets such as 20 passengers, opening direct flights increases demand by 80%.
Increased frequency is also important to improve the quality of connectivity, ensuring passengers are more flexible and convenient.
According to the company, the right-sized aircraft are essential for developing connectivity in a fragmented market. They are suitable for both short and medium distance routes as well as for starting and growing new routes, as they offer lower travel costs and increased ranges.
“The report and the data behind it highlight the important possibilities of improving new routes and hub connectivity across Africa,” said Embraer Commercial Aviation SVP Sals & Marketing, head of Stephen Hanemann in the Regional Middle East and Africa. “By deploying the right aircraft and enhancing regional air travel, Africa can unlock new economic opportunities, improve the overall travel experience for millions of passengers, and unlock the continent's economic potential.”
“The new Embraer report illustrates the enormous opportunities already available to provide better connectivity within Africa and ensure a robust and resilient future,” says Jon Howell, founder and CEO of Aviadev.