in Air Transport

African airlines experience increase in traffic compared to a year ago

Posted 6 September 2017 · Add Comment

The International Air Transport Association (IATA) has announced global passenger traffic results for July showing strong but moderating demand growth.

Total revenue passenger kilometers (RPKs) rose 6.8%, compared to the same month last year, down from 7.7% year-over-year growth recorded in June.

All regions reported solid or better growth in passenger volumes over the past year. Capacity (available seat kilometers or ASKs) increased by 6.1%, and load factor rose 0.6 percentage points to a July record of 84.7%.

African airlines experienced a 6.5% increase in traffic compared to a year ago, down from 9.8% demand growth in June. Capacity rose 1.7%, and load factor jumped 3.4 percentage points to 74.1%. Conditions in the region’s two largest economies continue to diverge, with South Africa in recession while business confidence levels are at a two-year peak in Nigeria

"As is evidenced by the record high load factor in July, the appetite for air travel remains very strong. However, the stimulus effect of lower fares is softening in the face of rising cost inputs. This suggests a moderating in the supportive demand backdrop," said Alexandre de Juniac, IATA’s Director General and CEO. 

International Passenger Markets 

July international passenger demand rose 6.2% compared to July 2016, which was a slow-down compared to the 7.6% growth recorded in June. Total capacity climbed 5.5%, and load factor edged up 0.5 percentage points to 84.6%.

European carriers posted a 7.5% rise in traffic for July compared to a year ago, down from 8.8% annual growth in June. Capacity rose 5.9%, and load factor climbed 1.3 percentage points to 88.7%, highest among the regions. The economic backdrop in Europe has strengthened; however, on a seasonally-adjusted basis, the upward growth in travel demand has moderated sharply since February.

Asia-Pacific airlines’ July traffic rose 5.9% over the year-ago period, a deceleration compared to June growth of 8.8%. As with Europe, carriers in the Asia-Pacific region are seeing a slowing of demand growth. Capacity increased 6.7% and load factor slipped 0.6 percentage points to 81.0%. 

Middle East carriers had a 4.5% increase in demand for July. This was an acceleration from the 3.6% annual growth seen in June, but was still well off the 5-year average pace of 11.2%. The Middle East to North America market has been affected by a combination of factors in 2017, including the recently-lifted cabin ban on large portable electronic devices, as well as a wider impact from the proposed travel bans to the US. Traffic growth on the Middle East-US route was already slowing in early 2017, in line with a moderation in the pace of expansion of nonstop services flown by the largest Middle Eastern airlines. July capacity climbed 3.6% compared to a year ago and load factor rose 0.7 percentage points to 81.5%. 

North American airlines’ traffic climbed 3.5% compared to July a year ago. This was down from 4.4% growth in June, but still ahead of the 5-year average pace (2.9%). Outbound travel is being supported by the relatively solid economic backdrop in North America; however, anecdotal evidence suggests that inbound demand is being negatively influenced by the additional security measures in place for travel to the US. July capacity rose 3.8% with the result that load factor slipped 0.3 percentage points to 85.9%. 

Latin American airlines recorded the strongest growth among regions, posting a 10.5% demand rise compared to July 2016. Capacity increased almost as fast, up 10%, and load factor climbed 0.4 percentage points to 84.9%. International volumes between North and Central America continue to strongly trend upward while traffic on the North-South America market segment has also started to trend upwards, in part helped by the healthier, albeit still fragile, economic backdrop in Brazil.

* required field

Post a comment

Other Stories
Advertisement
Latest News

National Aviation Services (NAS) partners with #VisaFreeAfrica

The Kigali Global Shapers has partnered with National Aviation Services for an exclusive sponsor of #VisaFreeAfrica (VFA), a global campaign to facilitate mobility in Africa.

The Range Rover of the skies

No fewer than five Pilatus PC-24 jets are already on order for operations in Africa – and the company has now stopped taking further orders until the first deliveries of the twin-engine aircraft start, expected to be the last quarter of

Air Serv responds to cholera outbreak in southern DRC

Air Serv has deployed an aircraft to the Kasai Province of the Democratic Republic of the Congo (DRC) in response to the cholera epidemic affecting the region.

Kenya Airways Limited advised on financial restructuring

Global law firm White & Case has advised Kenya Airways Limited on its US$2 billion financial restructuring.

Legacy of Ghav's pioneers of peace

For more than a decade, the Ghana Aviation Unit (GHAV) was deployed in Cτte d'Ivoire as part of a UN peacekeeping force. Erwan de Cherisey looks at what was achieved and the legacy left by the unit as it finally went home earlier this year.

The A350-1000 is certified for airline service

Delivery of the first A350-1000 – the longest-fuselage version of Airbus' A350 XWB jetliner – is planned before year-end following the aircraft's Type Certification by the European and U.S. airworthiness authorities.

AfBAC Expo SK2017
See us at
Global Aerospace BT28218Aviation Africa BT18418AfBAC Expo BT2017