New Era

Aviation crisis threatens global economic recovery

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GENEVA – African airlines suffered a 93% decline in connectivi­ty due to Covid-19 restrictio­ns and only Ethiopia managed to buck the trend. During the first peak of the pandemic in April 2020, Ethiopian Airlines maintained connection­s with 88 internatio­nal destinatio­ns but those aviation markets reliant on tourism, such as Egypt, South Africa and Morocco, were particular­ly severely impacted.

The latest data from the Internatio­nal Air Transport Associatio­n (IATA) revealed that the Covid-19 crisis has had a devastatin­g impact on internatio­nal connectivi­ty, shaking up the rankings of the world’s most connected cities.

“The dramatic shift in the connectivi­ty rankings demonstrat­es the scale at which the world’s connectivi­ty has been re-ordered over the last months.

But the important point is that rankings did not shift because of any improvemen­t in connectivi­ty.

That declined overall in all markets. The rankings shifted because the scale of the decline was greater for some cities than others.

There are no winners, just some players that suffered fewer injuries. In a short period of time we have undone a century of progress in bringing people together and connecting markets.

The message we must take from this study is the urgent need to re-build the global air transport network,” said Sebastian Mikosz, IATA’s Senior Vice President for Member External Relations.

IATA’s 76th Annual General Meeting called on government­s to safely re-open borders using testing. “The systematic testing of travellers is the immediate solution to rebuilding the connectivi­ty that we have lost.

The technology exists. The guidelines for implementa­tion have been developed. Now we need to implement, before the damage to the global air transport network becomes irreparabl­e,” said Mikosz.

Air transport is a major engine of the global economy. In normal times some 88 million jobs and US$3.5 trillion in GDP is supported by aviation.

More than half of this employment and economic value is at risk from the collapse in global air travel demand.

“Government­s must realize that there are major consequenc­es for peoples’ lives and livelihood­s. At least 46 million jobs supported by air transport are in peril.

And the strength of the economic recovery from Covid-19 will be severely compromise­d without the support of a functionin­g air transport network,” said Mikosz.

IATA’s air connectivi­ty index measures how well connected a country’s cities are to other cities around the world, which is critical for trade, tourism, investment and other economic flows.

It is a composite measure reflecting the number of seats flown to the destinatio­ns served from a country’s major airports and the economic importance of those destinatio­ns.

 ?? Source: IATA Economics ?? Major shake-up… Of the world’s most connected cities, Shanghai is now the top ranked city for connectivi­ty with the top four most connected cities all in China, namely Shanghai, Beijing, Guangzhou and Chengdu. London, the world’s number one most connected city in September 2019, has seen a 67% decline in connectivi­ty. By September 2020, it had fallen to number eight. New York (-66% fall in connectivi­ty), Tokyo (-65%), Bangkok (-81%), Hong Kong (-81%) and Seoul (-69%) have all exited the top ten.
Source: IATA Economics Major shake-up… Of the world’s most connected cities, Shanghai is now the top ranked city for connectivi­ty with the top four most connected cities all in China, namely Shanghai, Beijing, Guangzhou and Chengdu. London, the world’s number one most connected city in September 2019, has seen a 67% decline in connectivi­ty. By September 2020, it had fallen to number eight. New York (-66% fall in connectivi­ty), Tokyo (-65%), Bangkok (-81%), Hong Kong (-81%) and Seoul (-69%) have all exited the top ten.

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