Opportunities and challenges as Fly540, first pan-African airline, adopts Stelios' FastJet brand

While Stelios Haji-Ioannou may help give Africa its first low-cost carrier franchise in the form of FastJet, growth should not be expected to occur at the same pace as Stelios' easyJet operation, even if FastJet targets an eventual goal of 12 million passengers annually, which could require upwards of 30 to 40 aircraft. Infrastructure and regulatory challenges in Africa are notable and the general lack of liberalisation across the continent means FastJet will be tied to the antiquated system of bilateral agreements that protect national interests, which remain high at the dawn of a revitalised era in African aviation, spawned by increasing GDP growth and investment.

It is not difficult to see the long-term potential, but in the short-term FastJet will start conservatively. FastJet is due to launch later this year by taking over the operations of Fly540, a pan-African full-service carrier with operations in Angola, Ghana, Kenya and Tanzania. The re-branding will coincide with the adoption of a LCC model and shedding Fly540's primarily regional aircraft for Embraer E-jets or Airbus A319s, smaller than the typical LCC use of A320s and Boeing 737s.