A new report by the International Air Transport Association (Iata) and InterVistas has found “massive” economic potential will result from implementing the 15-year-old Yamoussoukro Decision.

Liberalising African skies and opening up to each country on the continent could deliver considerable social and economic benefits, with just 12 key markets providing an extra 155 000 jobs and $1.3-billion in yearly gross domestic product (GDP), the report states.

The ‘Transforming Intra-Africa Air Connectivity’ report unveiled the benefits that would accrue if 12 African nations, namely Algeria, Angola, Egypt, Ethiopia, Ghana, Kenya, Namibia, Nigeria, Senegal, South Africa, Tunisia and Uganda, were to implement the 1999 Yamoussoukro agreement, which had committed 44 signatory countries to deregulating air services and to opening regional air markets to transnational competition.

However, the implementation of the agreement had been slow and the benefits have not been realised for an industry that supported 6.9-million jobs and delivered more than $80-billion in GDP across Africa.

“While many air markets between Africa and countries outside of Africa have been liberalised to a significant extent, most intra-African aviation markets remain largely closed, subject to restrictive bilateral agreements which limit the growth and development of air services. This has limited the potential for aviation to be an engine of growth and development,” the report said.

“Africa represents a huge potential market for aviation. It is, therefore, unfortunate that African States are opening their aviation markets to [other] countries but not each other,” said Iata CEO and director-general Tony Tyler.

This was holding back African aviation and, subsequently, African economies.

“This report demonstrates beyond doubt the tremendous potential for African aviation if the shackles are taken off,” he averred.

The study showed that unlocking Africa’s aviation industry would increase air service levels and lower fares, which would lead to economic growth and increased employment through additional traffic volumes and the boost in tourism, trade and investment, besides other sectors of the economy.

The study also indicated that each 10% increase in international air services led to a 0.07% increase in GDP, which translated into millions of dollars of incremental GDP.

The traffic impacts on the 12 countries ranged from increases of 51% in Nigeria, to 141% in Algeria.

In total, traffic flows between the 12 countries were projected to increase by 81%, from 6.1-million passenger movements in 2013 to 11-million after liberalisation.

Passengers travelling between the surveyed countries were expected to benefit from fare reductions of 25% to 35%, providing savings of over $500-million a year.