African airlines must collaborate to survive as profitability lags global peers

Collaboration is no longer optional—it is essential for survival
The CEO of South African Airways on why African airlines must work together to compete globally.

Africa's aviation sector finds itself in a paradox as old as the continent's modern economies: growth without gain. Gathered in Johannesburg, hundreds of industry leaders and ministers confronted the reality that African airlines will earn just $1.30 per passenger in 2026—a fraction of the global average—despite operating the world's fastest-growing air travel market. The structural forces at work are not mysterious, but they are stubborn: fragmented markets, punishing cost burdens, and a history of nations choosing competition over cooperation. The question before the continent is whether its airlines can build something collectively that none of them can achieve alone.

  • Africa's airlines are on track to share just $200 million in profit across an entire continent in 2026, less than half a percent of global aviation earnings despite carrying over 2% of the world's passengers.
  • Operating costs run 15% above the global average, fuel prices 17% higher, and only one in five African routes offers a direct flight—structural disadvantages that no single well-run airline can overcome on its own.
  • Criminal networks have grown sophisticated in exploiting African air corridors, with high-profile security breaches at hubs like Johannesburg's OR Tambo exposing how deeply vulnerability is woven into the continent's fragmented oversight.
  • Industry leaders are no longer framing collaboration as an aspiration—executives and ministers alike are calling it a condition of survival, with continental frameworks for tax harmonization and security cooperation now actively in development.
  • The continent's 6% projected growth rate outpaces the world, but without integration that growth risks becoming a treadmill—more passengers, more routes, and no more margin to show for it.

In a Johannesburg conference room, more than four hundred aviation executives and government officials gathered to face an uncomfortable truth: Africa's airlines will earn just $200 million in profit across the entire continent in 2026, even as the region's air travel market grows faster than anywhere else on earth.

The numbers tell a story of expansion without reward. Global carriers are forecast to earn $7.90 per passenger this year; African airlines will manage $1.30. Of the $41 billion in worldwide aviation profit expected in 2026, Africa's share is less than half a percent. The reasons are structural and familiar—fragmented national markets that prevent scale, fuel costs running 17% above the global average, taxes and charges adding another 15% to operating expenses, and a network so poorly connected that only 19% of routes within the continent offer direct flights.

Abdérahmane Berthé of the African Airlines Association told delegates that rapid growth means nothing without a fundamental shift in how the industry operates. Matshela Seshibe, head of the South African Airways group, was blunter still: collaboration is no longer optional, he said—it is essential for survival.

Transport ministers have begun drafting a continental framework to harmonize the taxes and fees that make African aviation uncompetitive. South African Minister Barbara Creecy framed fragmentation itself as the enemy, while also raising the growing threat of sophisticated criminal networks exploiting air routes—a security challenge that demands the same cross-border cooperation the industry has historically resisted.

The International Air Transport Association projects 6% growth for African air travel in 2026, outpacing the global rate. That growth is real. Whether the continent's airlines can learn to work together long enough to capture its value—or whether each carrier will continue struggling alone against costs no individual operator can control—remains the defining question of the moment.

In a Johannesburg conference room on Monday, more than four hundred aviation executives and government officials gathered to confront an uncomfortable arithmetic: Africa's airlines will pocket just $200 million in profit across the entire continent in 2026, even as the region's air travel market grows faster than anywhere else on earth.

The disparity is stark. While global carriers are forecast to earn $7.90 per passenger this year, African airlines will manage $1.30—a margin so thin it barely registers. Of the $41 billion in worldwide aviation profit expected in 2026, Africa's share amounts to less than half a percent. The continent accounts for more than 2% of global air traffic but captures almost none of its returns. It is, by any measure, a market that is growing without getting richer.

The culprits are familiar to anyone tracking African infrastructure: fragmented national markets that prevent airlines from achieving scale, aging fleets that consume fuel at punishing rates, and a cost structure that punishes operators at every turn. Fuel prices run 17% higher than the global average. Taxes and charges imposed by governments and airport operators add another 15% to operating expenses. Air navigation fees are 10% above international norms. Maintenance, insurance, and capital costs run 6% to 10% above what carriers pay elsewhere. Only 19% of routes within Africa offer direct flights, forcing passengers onto inefficient connections that erode margins further.

Abdérahmane Berthé, secretary-general of the African Airlines Association, told the delegates that the continent's rapid growth means nothing without a shift in how the industry operates. "Our task is to implement actions to ensure that the growth translates into genuine profitability, deep connectivity, and sustainable opportunity for African aviation," he said. The message was clear: expansion without integration is merely expansion toward failure.

Matshela Seshibe, chief executive of the South African Airways group, was more direct. "Collaboration is no longer optional for African aviation, it is essential for survival, sustainability and long-term competitiveness," he said. No single airline, no matter how well-managed, can overcome the structural disadvantages that the continent imposes. The only path forward runs through coordinated action.

Transport ministers meeting separately have begun drafting a continental framework aimed at harmonizing the taxes, charges, and fees that governments levy on carriers. The goal is to reduce the cost burden that makes African aviation uncompetitive. South African Transport Minister Barbara Creecy emphasized that fragmentation itself is the enemy. "An integrated, co-operative and co-ordinated aviation sector is essential if we are to overcome fragmentation and compete effectively on the global stage," she said.

But profitability is only part of the challenge. Creecy also raised the question of security, noting that criminal networks have grown sophisticated in their exploitation of African air routes. Recent incidents at major hubs like OR Tambo International Airport in Johannesburg have exposed vulnerabilities. She called for intelligence sharing, regulatory coordination, and advanced technology adoption across the continent—measures that themselves require the kind of cross-border cooperation that African aviation has historically lacked.

The International Air Transport Association projects that African air travel will expand by 6% in 2026, outpacing the global growth rate of 4.9%. That growth is real. The question now is whether the continent's airlines can learn to work together long enough to capture its value, or whether they will continue to expand in isolation, each carrier struggling alone against costs that no individual operator can control.

Our task is to implement actions to ensure that the growth translates into genuine profitability, deep connectivity, and sustainable opportunity for African aviation.
— Abdérahmane Berthé, African Airlines Association secretary-general
An integrated, co-operative and co-ordinated aviation sector is essential if we are to overcome fragmentation and compete effectively on the global stage.
— Barbara Creecy, South African Transport Minister
The Hearth Conversation Another angle on the story
Inventor

Why does Africa's aviation market grow so fast if the airlines can't make money?

Model

Growth and profitability are different things. More people are flying, yes—the market is expanding at 6% annually. But they're flying on routes that don't connect well, in planes that cost too much to operate, through airports that charge excessive fees. The growth is real; the economics are broken.

Inventor

So it's a cost problem, not a demand problem?

Model

Partly. Fuel costs 17% more here than globally. Taxes and charges add another 15%. But it's also structural—only 19% of routes have direct flights, so passengers take connections, which means more fuel burned, more handling fees, more time in the system. A single airline can't fix that alone.

Inventor

What would integration actually look like?

Model

Shared networks, coordinated scheduling, harmonized pricing across borders. If airlines could operate as a unified system rather than competing fiercely on the same thin routes, they could reduce redundancy and negotiate better terms with fuel suppliers and airport operators. Right now each carrier is fighting the same battle separately.

Inventor

Is this about politics, or just business?

Model

Both. Governments set the taxes and fees. They control the airports. Ministers are now talking about a continental framework to harmonize those costs, which means political will has to align with business logic. That's the hard part.

Inventor

What happens if they don't collaborate?

Model

Individual airlines continue to struggle. The market grows but nobody profits. Eventually, weaker carriers fail or get absorbed. You end up with consolidation anyway, but messier and more painful than if it happened through planned integration.

Inventor

And the security angle—how does that fit in?

Model

Criminal networks are using African air routes because they're fragmented and less coordinated than routes elsewhere. Better security requires the same thing profitability does: intelligence sharing, regulatory alignment, technology adoption across borders. You can't secure a system that doesn't talk to itself.

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