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Africa Outlook: Ethiopian Airlines and Air Mauritius grow, but others face strong headwinds

Analysis

Africa is a region of huge opportunity - as has been observed for decades - but even bigger challenges. Africa's airlines continue to struggle and collectively remain in the red while airlines in every other region in today's favourable environment are profitable.

Structural changes and a new mindset from African governments are desperately needed. Political interference and government meddling in airlines is a common problem, as well as protectionism and unnecessarily high taxation.

In this report CAPA looks at the continued struggles of South African Airways and the new business models being pursued by Air Mauritius and TAAG - both of which are keen to develop new transit hubs. Ethiopian's rapid growth and remarkable success highlight the opportunities in Africa that can be exploited with the right strategy.

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