Air transport, tourism bodies appeal for urgent support to Africa's travel industry

7th May 2020

By: African News Agency

  

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Five international air transport and tourism bodies have launched an appeal to international financial institutions, country development partners and international donors to support Africa’s travel and tourism sector which has been brought to a virtual standstill due to Covid-19.

The industry contributes $169-billion to Africa’s economy, representing 7.1 percent of its gross domestic product, and employs some 24.6-million people on the continent whose jobs are under now under threat as airline travel has been grounded while countries have closed their borders to curb transmissions of the coronavirus first reported in China last December.

In a joint request, the International Air Transport Association (IATA), the United Nations World Tourism Organization (UNWTO), the World Travel & Tourism Council (WTTC), the African Airlines Association (AFRAA) and the Airlines Association of Southern Africa (AASA) asked for $10-billion in relief for the industry.

They also called for access to as much grant-type financing and cash flow assistance as possible to inject liquidity and provide targeted support to severely impacted countries and financial measures to minimize disruptions to much-needed credit and liquidity for businesses.

"Some African governments are trying to provide targeted and temporary support for hard-hit sectors such as travel and tourism," they said.

"However, many countries lack the necessary resources to help the industry and these livelihoods through this crisis."

The associations said the situation was now critical, with airlines, hotels, guesthouses, lodges, restaurants, meeting venues and related businesses facing mounting losses.

Typically, travel and tourism comprises 80 percent of small and medium enterprises, many of whom have already begun laying off or placing staff on unpaid leave to preserve cash.

“The impact of the Covid-19 outbreak is being felt across the whole travel and tourism value chain," UNWTO secretary-general Zurab Pololikashvili said.

"The sector is particularly exposed with millions of livelihoods across the world, especially within vulnerable communities, supported by the sector. International financial support is key to ensuring that Travel & Tourism can lead to wider economic and social recovery in these communities."

IATA’s director-general and CEO Alexandre de Juniac said airlines were at the core of the travel and tourism value chain "that has created quality jobs for 24.6-million people in Africa".

"Their livelihoods are at risk. Containing the pandemic is the top priority. But without a lifeline of funding to keep the Travel & Tourism sector alive, the economic devastation of Covid-19 could take Africa’s development back a decade or more," he said.

"Financial relief today is a critical investment in Africa’s post-pandemic future for millions of Africans."

Edited by African News Agency

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