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Flic en Flac - Well-intentioned but sometimes conflicting policies on transport, trade, immigration, tourism, taxation and environmental affairs diminish southern Africa's competitiveness and attraction as a destination for business, Chris Zweigenthal, CEO of the Airlines Association of Southern Africa (Aasa), said on Friday.
“The confusion and mixed signals transmitted by governments also compound the many other challenges which the industry faces, including high costs of jet fuel, infrastructure, safety, security and the environmental costs, constraints on ownership, control and market access, all of which impact the region’s airlines’ sustainability and growth,” he said.
“As a result, they blunt the region’s ability to stimulate trade, tourism and economic growth nationally and regionally.”
Zweigenthal was one of the opening speakers at the 44th annual general meeting of Aasa taking place in Mauritius. Aasa represents most of the airlines in the southern African and Indian Ocean region.
Regional forum could promote growth
Zweigenthal proposed the establishment of a regional forum where governments and the air transport industry can engage constructively on policies and eliminate impediments to trade, tourism and economic growth. Such a forum could also close gaps that exist between government policy and commercial air transport industry strategies.
Airlines in the United Arab Emirates and those from Kenya and Ethiopia are succeeding, in his view, because they aligned economic growth strategies.
“If we are serious about growing our economies, then governments and the airline industry must constructively engage to ensure that existing and future policies are conceived and implemented so that they do not have unintended negative consequences,” Zweigenthal said.
An example for him is what he calls “the encouraging engagement" between South Africa’s department of home affairs and the industry on the implementation of the new immigration regulations.
There are 24 major airlines in the southern African and Indian Ocean region; nine of these are profitable, nine are not and the status of the rest is undisclosed. Twelve of the region’s airlines are engaged in turnaround strategies, restructuring or busy launching their operations.
- Fin24
“The confusion and mixed signals transmitted by governments also compound the many other challenges which the industry faces, including high costs of jet fuel, infrastructure, safety, security and the environmental costs, constraints on ownership, control and market access, all of which impact the region’s airlines’ sustainability and growth,” he said.
“As a result, they blunt the region’s ability to stimulate trade, tourism and economic growth nationally and regionally.”
Zweigenthal was one of the opening speakers at the 44th annual general meeting of Aasa taking place in Mauritius. Aasa represents most of the airlines in the southern African and Indian Ocean region.
Regional forum could promote growth
Zweigenthal proposed the establishment of a regional forum where governments and the air transport industry can engage constructively on policies and eliminate impediments to trade, tourism and economic growth. Such a forum could also close gaps that exist between government policy and commercial air transport industry strategies.
Airlines in the United Arab Emirates and those from Kenya and Ethiopia are succeeding, in his view, because they aligned economic growth strategies.
“If we are serious about growing our economies, then governments and the airline industry must constructively engage to ensure that existing and future policies are conceived and implemented so that they do not have unintended negative consequences,” Zweigenthal said.
An example for him is what he calls “the encouraging engagement" between South Africa’s department of home affairs and the industry on the implementation of the new immigration regulations.
There are 24 major airlines in the southern African and Indian Ocean region; nine of these are profitable, nine are not and the status of the rest is undisclosed. Twelve of the region’s airlines are engaged in turnaround strategies, restructuring or busy launching their operations.
- Fin24
