Zimbabwe

Simple ownership change to forgive USD150m of debt is not enough to place Air Zimbabwe back on track

Zimbabwe has forced the issue of rising debt at national carrier Air Zimbabwe by disbanding the airline, officially known as Air Zimbabwe Holdings, and re-launching it as Air Zimbabwe Private Limited. Local reports have put the carrier's debt at USD150 million, USD30 million of which is owed internationally, including in the US and China. The ownership structure of the new airline has not been disclosed, although the Government is reportedly trying to woo investors.

The move is not a cure-all. Before the new carrier can be taken seriously, it needs not only independent management but also structural changes within government to benefit the country and trickle down to the airline.

Ethiopian selects initial 787 routes; confirms Guangzhou as first long-haul 787 destination

Ethiopian Airlines has decided on its first set of routes for its new Boeing 787 fleet, which will be placed into service in June. The carrier will initially deploy its first 787 on short/medium-haul flights to Dubai and Johannesburg from June before using the type on its first long-haul route, to Guangzhou, from August. Ethiopian, which will be the first airline to operate 787s in the Europe, Middle East and Africa (EMEA) region, also plans to use its first batch of four 787s to serve Harare in Zimbabwe and Lusaka in Zambia.

CAPA initially reported in June that Ethiopian intended to make Guangzhou one of its first 787 destinations. In December, CAPA reported that Guangzhou remained high on its list of potential 787 routes but Ethiopian was also considering using 787s to serve Hong Kong and to open potential new destinations in Asia including Chongqing in China, Kuala Lumpur and Singapore.

Intercontinental and regional carriers look to serve Zimbabwe in absence of national carrier

Zimbabwe’s indigenous aviation industry has been uncertain at best, underscored by Air Zimbabwe grounding its entire fleet last month. Even if the carrier resumes services, its future is not guaranteed. Instead Zimbabwe will have to rely on intercontinental and regional carriers. In the former category, Emirates will launch services in early Feb-2012, which will help maintain whatever trade links and international relations Zimbabwe has left. From regional African carriers, Air Namibia will resume service and Zambezi Airlines plans to increase its offering, which will help supplement the country’s regional needs. While total capacity in Zimbabwe has dropped since mid-2011, it is expected to increase this year but by May-2012 will still be down 11% from a year earlier.

Slovenia, Colombia and Eastern Europe among the hottest emerging markets for European travellers

The overall numbers may be small, but the growth in seating capacity is spectacular from Europe to a number of emerging markets around the world this summer. Headlining this list is Slovenia, Tajikistan and Georgia in Eastern Europe; El Salvador, Panama and Colombia in Latin America; Rwanda, The Gambia and Togo in Africa; and Cambodia and Vietnam in Asia.