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Airline industry a big contributor to GDP
African international travel demand grew by about 5%, based on the positive Gross Domestic Product growth (GDP) of most sub- Saharan countries. "The biggest indicator of economic growth in sub-Saharan Africa is already evident in the airline industry," he said.
Caunhye pointed out that buoyancy and increased demand can be seen in the African airline industry, Engineering News says. He warned, however, that escalating costs may impact on the operational costs and trigger economic slowdowns in the general economy, which, in turn, could result in a substantial decline in demand for travel and cargo. He said new and established airlines in Africa are investing large sums of money, introducing new routes, products and aircraft. "There is continuous investment to ensure industry growth, especially in South Africa," he noted, "where the main gateways have state-of-the-art facilities for the smooth transition of inbound and outbound passengers."
Read the full article on www.engineeringnews.co.za.