The growth of air transport is a critical issue for Africa since it provides critical links for the continent’s economic and physical integration, particularly given the absence of other modes of land or sea and so on transport.
Furthermore, Africa, with its vast size and rapid population increase distributed across 54 countries, as well as its riches and commercial activity, has the potential to be a massive market for air travel. Air transport integration is regarded as a significant driver of African air transport expansion, particularly if it results in enhanced efficiency and competition.
Although air travel in Africa has increased significantly in the past ten years, integration has not been the main driver of this growth. According to the 2019 report entitled “Overview of the African air transport market: Liberalization of Air Transport in Africa, 2019’s Status and Way Forward, ” Air transport connectivity in Africa is substantially lower than in other regions, particularly when considering the continent’s size and population. Despite having 17% of the world’s population and 7.2% of the middle class, Africa only accounts for about three percent of the world’s air travel market.
The report further explained that some of the various elements that can explain this situation include a lack of market openness and low levels of air transport liberalization, which have long been acknowledged as one of the most significant impediments with the most detrimental impact.
As a result, on October 17, 1988, the Ministers in Charge of Civil Aviation of 40 African states met in Yamoussoukro and agreed on a new African Air Transport Policy (the Yamoussoukro Declaration), aimed at comprehensively reforming the air transport industry and unifying the fragmented African air transport market. Unfortunately, the proclamation has not been enforced, despite the fact that it has long been on the African Union’s agenda.
Particularly, the AU Agenda 2063 includes the liberalization of air travel as a flagship project in 2013, which was part of the continent’s socio-economic and development goals. This initiative culminated in the establishment of the Single African Air Transport Market (SAATM) in 2018.
For the Yamoussoukro Decision (YD) to be implemented effectively, the SAATM calls for the following: full liberalization of intra-African air transport services in terms of market access; first, the free exercise of freedom of traffic rights for scheduled and freight air services by eligible airlines; second, eligibility requirements for African carriers; third, full liberalization of frequencies, tariffs, and capacity; fourth, safety and security standards for African carriers; and, finally, fair competition, dispute resolution, and consumer protection mechanisms.
Since the African Union’s official introduction of the SAATM on January 28, 2018, 33 African countries have signed the Solemn Commitment to become members. Benin, Burkina Faso, Botswana, Cape Verde, Cameroon, Central African Republic, Congo, Côte d’Ivoire, Chad, Democratic Republic of the Congo, Egypt, Ethiopia, Equatorial Guinea, Gabon, Gambia, Ghana, Guinea Conakry, Guinea Bissau, Kenya, Lesotho, Liberia, Mali, Morocco, Mozambique, Namibia, Niger, Nigeria, Rwanda, Senegal, Sierra Leone, South Africa, Eswatini, Togo, Zambia, and Zimbabwe have signed the SAATM Solemn Commitment. In essence, SAATM is a strategic project aimed at unlocking Africa’s air travel potential, fostering connectivity, economic growth, and deeper integration among African states.
Given these facts, we must ask how Ethiopian Airlines is attempting to achieve this goal. What is the significance of Ethiopian Airlines’ role in the economic integration of Africa?
Ethiopian Airlines Group Chief Executive Officer Mesfin Tasew told The Ethiopian Herald that the Single African Air Transport Market (SAATM) is a significant endeavor that the African Union has started. Enabling Africans to trade with one another is the program’s primary goal. It also encourages Africans to purchase, sell, and trade goods with one another.
Hence, Ethiopian Airlines plays a crucial role in facilitating economic connections among Africans by offering reasonably priced and easily accessible air transportation. Besides, it seeks to unite Africans through trade, tourism, and other means.
The initiative’s second goal is to move people and commodities across nations during business meetings, conferences, and other events, particularly when road transportation is inconvenient.
I recently heard that some nations, I believe, supply milk to other nations. In Africa, it is difficult to transport milk by car. They require fresh milk, so they primarily ship it by air. In addition, a lot of West African nations use European routes to import fruits and vegetables. Ethiopia, however, sells to the Middle East. In this case, the SAATM is essential for fostering economic integration as well as bringing single aviation, he explained.
Ethiopia is putting the SAATM concept into practice by helping other African nations build their airlines and aviation industries in addition to bringing about economic integration. According to him, taking these actions is essential to achieving holistic development across the continent.
Indeed, the Single African Air Transport Market (SAATM) is an important effort under the African Union’s Agenda 2063, with the goal of improving air transport connectivity and liberalizing air travel across the continent. As a result, Ethiopia is vital to this initiative for a variety of reasons.
Ethiopia, for example, benefits from its strategic location. Ethiopia’s location in the Horn of Africa makes it an important hub for air travel between Africa and beyond. This positioning highlights its significance in facilitating intra-African connectivity. Furthermore, as one of Africa’s largest and most successful airlines, Ethiopian Airlines serves as a role model for other African carriers.
The airline has played an important role in developing air transport across the continent and beyond, and its wide network supports SAATM’s goals, he elucidated.
He noted that Ethiopia serves as an advocate and a leader. The government has been a major champion for SAATM adoption, highlighting the need for open skies and African partnership.
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The Ethiopian government has actively participated in talks and actions to achieve SAATM’s aims.
Furthermore, Ethiopia has made major investments in its aviation infrastructure, including the development of Addis Ababa Bole International Airport. This investment promotes air travel and establishes Ethiopia as a key player in regional and continental aviation.
Additionally, Ethiopia offers a major platform for the integration and growth of the continental economy. Ethiopia is in line with larger African economic integration initiatives by endorsing SAATM. He clarified that the project is anticipated to increase investment, trade, and tourism throughout the continent, supporting Ethiopia’s economic growth.
Despite tremendous growth in air transport, Africa’s contribution to the global air transport industry remains insignificant in terms of cargo and passenger revenue. Furthermore, there is an imbalance between African airlines and foreign airlines that serve the continent: non-African carriers account for roughly 80% of intercontinental traffic between Africa and the rest of the world.
Therefore, Ethiopian Airlines must continue to advocate full implementation of SAATM, infrastructure development, and contributions to regional economic integration.
Furthermore, Ethiopia should continue to assist African countries in establishing their own airlines because the aviation sector promotes economic interaction and efficiency in particular and holistic development in general.
