A single daily flight between Yaoundé and Addis Ababa can generate more than $43 million a year for an airline, yet still end up making a loss because the money cannot be repatriated on time.

That was one of the striking scenarios presented Wednesday, as African aviation leaders dived into the fourth edition of the Focus Africa Conference in Addis Ababa, where the International Air Transport Association (IATA) warned that blocked airline funds, excessive taxes, and high operating costs are choking the continent’s aviation growth.

In an illustration shared by Kamil Alawadhi, IATA’s regional vice president for Africa and the Middle East, Ethiopian Airlines operates a daily 170-seat Boeing 737-800 flight between Yaoundé, Cameroon and Addis Ababa at a 70 percent load factor, carrying about 120 passengers per flight.

At an average fare of $1,000 per passenger, the route generates $43.8 million annually. But after accounting for the high cost of operations, the airline earns only $1.3 profit per seat sold—equivalent to just $56,940 in annual net profit.

If the airline then faces delays in repatriating its revenues from Cameroon and the local currency depreciates by four percent before the money is transferred, the route shifts from profit to a net loss of nearly $1.7 million.“It shows how quickly profitability can disappear when airlines are denied timely access to their own revenues,” Alawadhi told delegates.

As at the end of March 2026, African countries accounted for the largest share of global airline blocked funds, with $774 million (80 percent of the $970 million blocked globally) trapped and unavailable for repatriation.

Algeria leads with $258 million, followed by the Central African francophone zone with $105 million, Mozambique with $82 million, Eritrea with $78 million, and Angola with $73 million.“Given the scale of funds blocked in Algeria, urgent and decisive government action is essential,” said Alawadhi, noting that airlines continue to face delays despite complying with regulatory requirements.

He warned that failure to resolve the issue could force airlines to cut frequencies, reduce investment, or withdraw entirely from affected markets.

In a second example, he illustrated how taxes and extra aviation charges can quietly redirect tourism revenue away from one African destination to another.

A family of five travelling from Johannesburg must choose between a holiday in Nairobi or Dar es Salaam. Although Dar es Salaam is geographically closer, the airfare is slightly more expensive, and Tanzania adds a one-way Advance Passenger Information and Passenger Name Record (API-PNR) charge of $45 per passenger—equivalent to $90 for a round trip.

Combined with a ticket price that is $60 higher, the total cost tips the family’s decision in favour of Nairobi, where they eventually spend $5,000 on a six-day holiday.

For IATA, that is a lost tourism opportunity created not by distance or destination quality, but by policy choices.“Aviation is economic infrastructure for Africa,” said Alawadhi. “Its value lies in the long-term benefits it delivers. An aviation strategy focused on safety, cost-competitiveness, energy security, sustainability, and ease of doing business will create jobs, enable trade, support tourism, and deepen regional integration.”He said governments often focus on short-term tax collection from aviation instead of the broader economic gains that connectivity creates. At the conference, IATA called on African governments to adopt a continent-wide strategy built around four pillars: improving safety, reducing the cost of doing business, easing operational barriers, and investing in sustainability.

While Africa has made progress on safety, the continent still records the world’s highest accident rate. Between 2024 and 2025, the accident rate improved from 12.13 to 7.86 per million sectors, but this remains far above the global average of 1.32.

IATA said implementation of International Civil Aviation Organization standards remains weak across much of sub-Saharan Africa, with effective compliance averaging 60.34 percent compared to the global target of 75 percent.

Another concern is the failure to publish accident investigation reports. Between 2019 and 2023, only 19 percent of accident reports were completed in Africa, compared to a global average of 63 percent.

On cost competitiveness, IATA said taxes and charges imposed by governments and infrastructure providers make aviation in Africa around 15 percent more expensive than the global average.

It singled out Tanzania’s Advance Passenger Information and Passenger Name Record (API-PNR) fee of $45 one way as the highest in the world, while Angola, DR Congo, Nigeria, Ghana, and Kenya also impose charges above global norms.

The association also urged implementation of the December 2025 Ecowas decision to eliminate aviation taxes and reduce selected charges by 25 percent.

IATA called for easier visa access across the continent, noting that nearly half of intra-African travel still requires visas before departure, limiting tourism and trade.

On sustainability, the association said Africa has major untapped potential in Sustainable Aviation Fuel (SAF) production.

According to IATA, sub-Saharan Africa could supply up to 106 million tonnes of SAF feedstock by 2050, largely from agricultural residues, forestry waste, and municipal solid waste.

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