Difficulty Repatriating Revenues Earned in African Air Travel

The International Air Transport Association says that a number of African countries are holding up funds by airline operators as a result of foreign exchange crunch. At its annual General Meeting in South Korea early June 2019, IATA said as at the ending of March 2019, five African countries were holding a total of $413 million meant for airlines. Amongst them are Eritrea, Sudan, Zimbabwe, Angola and Algeria. Eritrea is holding a total of $73 million of such funds with six million of the chunk belonging to Ethiopian Airlines. Other airlines impacted by the same situation include Egypt Air, Turkish Air and Fly Dubai. Reports say the financial difficulty had forced Qatar Airways and Luthansa to abandon the route. According to the IATA, Zimbabwe holds USD 192 million, Sudan 84 million, Algeria 80 million, Angola seven million.SOURCE: AFRICA NEWS

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