As African airports seek to respond to the challenges of the rapid growth in demand for air services, Airports Council International (ACI) World has emphasized the importance of investing in non-aeronautical and commercial revenue streams to facilitate sustainable growth.
Addressing aviation stakeholders at the 2019 ACI Africa Regional Conference and Exhibition, in Luxor, Egypt, Angela Gittens, Director General, ACI World says boosting non-aeronautical revenue would help airports modernize and improve infrastructure and increase the customer experience at airports, as well as ensure an economic sustainable and more resilient business. The 2019 ACI Africa Regional Conference and Exhibition has as its theme as “Boosting Airport Growth with Non-Aeronautical Revenue.”
Passenger traffic in Africa is projected to reach 450 million by 2040 with a long-term (2017-2040) Compounded Annual Growth Rate of 3.7%. And as such, “Non-aeronautical revenues are key contributors to the financial success of airports as they not only help to diversify the income base for airports, but also serve to help them weather economic downturns,” Angela Gittens stresses, adding: “They can be a source to help recover operating costs and reduce the use of aviation taxes for future airport development.”
ACI Africa Secretary General Ali Tounsi also highlights the region’s recent upward trajectory of passenger and air cargo traffic.
“Considering the region’s potential for growth and its possible impediments, it has become more important than ever, for airports to develop their non-aeronautical revenue streams,” Ali Tounsi notes. “Airports must continually find new ways of generating revenues, set competitive charges, offer incentives and rebates, and invest in quality enhancements and capacity to meet the needs of the future.”