Developing passenger and air freight business to and within Africa

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Developing passenger and air freight business to
and within Africa
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Hygiene Factors

• Infrastructure
• Product
• Services
• Safety
• Internationally taken for granted
• Global, first world investment

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Even we get it wrong !
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Growth Forecasts
Average Annual Growth Rate (AAGR) 2006 to 2010 Average Annual Growth Rate (AAGR) 2006 to 2010
Passenger Numbers Freight Tonnes
TOTAL INTERNATIONAL 4.80 5.30
Africa 5.10 5.00
Asia Pacific 5.70 6.00
Europe 4.40 4.60
Latin America/Caribbean 4.60 4.30
Middle East 6.90 5.80
North America 4.30 4.50
Source IATA
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Challenges of developing the commercial aviation
sector within Africa Three key areas
Infrastructure
Regulation
Costs
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Infrastructure

• Complex Model
• ATC
• Buildings
• Runways
• Utilities
• Technical Aptitude
• Specialist Experience
• Aspiration
• Competition
• Availability
• Consistency of supply

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(No Transcript)
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Fatal airliner accident locations in 2006
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Number of fatal airliner accidents per region
Region 2006 2005 2004 2003 2002 5 Yr Ave 10 Yr Ave
Africa 5 13 7 7 10 8 7.4
Asia 5 6 7 2 10 5.8 8.3
Australasia 0 3 1 1 0 1 1.2
Central America 0 0 0 1 0 0.6 1.2
Europe 6 7 2 5 7 5.8 6.5
North America 7 3 5 4 4 4.2 5.9
South America 4 3 5 5 5 4.6 5
International Waters 0 0 1 0 1 0.6 0.8
Total 27 35 28 25 37 30.6 36.3
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Number of fatal airliner accidents per region

• The moving 10-year average trends show a decrease
  in the average number of fatal
• accidents for all regions. All regions have
  recorded a steadily decreasing accident rate
• over the past seven years, except for Africa.
• In 2006 Africa was again the most unsafe
  continent18,5 of all fatal airliner accidents
• happened in Africa, while the continent only
  accounts for approximately 3 percent of all
• world aircraft departures.

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International best practice
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Regulation

• Highly regulated industry
• Government/Non-Government
• Consistency, locally internationally
• International
• Growth Constraints
• Beyond individual business control

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Costs

• Oil
• People/Training
• Local Expertise
• Operating Standard
• Hardware
• Airframe availability for unknown markets
• Engineering Capability

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Oil Prices 1994 March 2008
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Key Events
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Summary

• Requirement for continued and significant
  investment
• Consistent approach to development
• Opportunity for growth and success

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Thank You !