Rwanda’s flag carrier RwandAir is set to double its fleet to 25 planes over the next five years to better connect underserved markets in Africa and boost the continent’s reach to global destinations, including the Middle East, its chief executive said. her.
The state-owned airline has begun expanding its fleet of 13 aircraft, taking delivery of three additional leased narrow-body Boeing 737s this year, Yvonne Makolo said. The National on the sidelines of the World Travel and Tourism Council’s global summit.
The annual industry event took place this year for the first time in Africa, in the capital of Rwanda, Kigali, from November 1 to 3.
“I don’t think we need to go further than the African continent, that’s the most underserved continent in aviation: We have 1.4 billion people and we only account for 3 percent of the world’s air traffic, which is ridiculous,” he said. Ms Makolo, who is the president and the first female head of the board of the International Air Transport Association (Iata).
βThe potential is within the continent and RwandAir is very focused on that, to see how we can open up and connect different African countries with fifth freedom rights and how we can connect Rwanda to African countries and then connect the continent with the rest of the world.”
The airline currently serves 25 destinations, 20 of which are within the African continent in countries such as Ghana, Kenya, Nigeria and South Africa. It also flies to cities in Europe and the Middle East, including Paris, London, Brussels, Dubai and Doha.
It plans to expand its route network to 39 destinations in five years, mainly within the African continent.
RwandAir’s fleet currently consists of a wide-body Airbus A330, a Boeing 737, a Bombardier CRJ-900 and two De Havilland Canada Dash 8-Q400s.
Affordable air travel is still a “big challenge” on the African continent because aviation is still considered a luxury, Ms Makolo said.
βIt is heavily taxed which is unnecessary, so that is something that also needs to be addressed and we need to see more collaboration and partnerships in African airlines as well,β he added.
RwandAir aims to position Kigali as a regional hub as an alternative to other hubs in Africa, he said.
Asked about competition with Africa’s largest airline, Ethiopian Airlines, she said: “They are a big competitor, but we also work closely together, we have code-sharing agreements and we have access to quite a few points through their network… they do the heavy maintenance checks [on aircraft].β
“There’s enough of a market for us and for all of us because Africa is hugely underserved.”
Ms Makolo confirmed that Qatar Airways’ planned investment in RwandAir is almost complete. The Doha-based airline plans to buy a 49 percent stake in the East African airline and a 60 percent stake in the new Bugesera International Airport in Rwanda.
The $1.3 billion airport, which is under construction, will have the capacity to handle seven million passengers annually and 150 million tons of cargo annually during its first phase of operation, according to the Rwanda Development Board.
“We are finalizing it, they will take over 49 per cent of RwandAir and 60 per cent of the airport,” Ms Makolo said.
The airport is expected to be ready in three to four years, according to the airline’s CEO.
Asked about RwandAir’s Middle East growth plans with the upcoming deal, she said the airline would focus on adding more flight frequencies to existing cities such as Doha and Dubai and exploring new routes in the region.
RwandAir’s load factor β a measure of how well airlines fill available seats β for Dubai and Doha is at least 70 percent.
“We will focus on adding more frequencies, we would like to see Dubai and Doha double daily,” he said.
Dubai is a key cargo destination for RwandAir, transporting fresh produce, particularly avocados, to the emirate.
RwandAir’s extensive codeshare with Qatar Airways allows its passengers access to 65 destinations via Doha.
“We are looking at additional points in the Middle East,” he said, declining to elaborate.
Ms Makolo joined many industry experts at the WTTC gathering calling for faster progress on open skies in Africa, echoing Europe’s single aviation market, which has been under discussion for years.
The launch of a single aviation market in Africa would boost connectivity, lower fares and boost economic growth on a continent widely seen as expensive and inconvenient to fly.
“We just have to get on with it,” Ms Makolo said. “Let’s start with whoever is ready, let them be among the coalition of the willing and start, and hopefully when others see that it works, they will join.”
The RwandAir boss also joined the aviation industry’s growing calls for governments to incentivize the production of sustainable aviation fuel (SAF) on a larger scale.
SAF will be the main contributor to the industry’s goal of net zero by 2050, and Iata estimates that SAF will account for around 62 percent of the industry’s decarbonisation requirements.
In addition to being in short supply, the fuel is also two to three times more expensive than jet kerosene, according to Iata.
“Many more incentives need to be put in place so that manufacturers start producing enough SAF and then we can address the issue of affordability,” Ms Makolo said.
“For us African airlines, it’s already very expensive to operate and now we need expensive fuel, so it doesn’t make sense – we’d go bankrupt.”
Updated: November 06, 2023, 6:16 am