Africa Leads Global Challenge in Airline Profit Blockade | By Dominick Andoh | The Africa and Middle East (AME) region accounts for 85% of the total blocked funds, totalling US$1.1 billion, out of the global US$1.3 billion in airline funds blocked from repatriation by governments as of the end of April 2025.
Seven out of the top ten countries, which account for 80% of the total blocked funds, amounting to $1.03 billion, are in Africa.
The top seven countries in Africa whose governments have prevented airlines from repatriating their profits are: Mozambique US$205million; XAF Zone (Cameroon, Central African Republic, Chad, Congo, Equatorial Guinea, and Gabon) US$ 191 million; Algeria US$178; Angola US$ 84million; Eritrea US$76million; Zimbabwe US$68million; and Ethiopia US$44million.
IATA urged governments to remove all barriers preventing airlines from the timely repatriation of their revenues from ticket sales and other activities in accordance with international agreements and treaty obligations.
Willie Walsh, IATA’s Director General, speaking at the 81st IATA AGM in New Delhi, India and hosted by
IndiGo airline said: “Ensuring the timely repatriation of revenues is vital for airlines to cover dollar-denominated expenses and maintain their operations. Delays and denials violate bilateral agreements and increase exchange rate risks. Reliable access to revenues is critical for any business—particularly airlines which operate on very thin margins. Economies and jobs rely on international connectivity. Governments must realise that it is a challenge for airlines to maintain connectivity when revenue repatriation is denied or delayed.”
Country Highlights
Pakistan and Bangladesh, previously in the top five blocked funds countries, have made notable progress in clearing their backlog to $83 million and $92 million, respectively (from $311 million and $196 million in October 2024, respectively).
Mozambique has climbed up to the top of blocked funds countries, withholding $205 million from airlines, compared with $127 million in October 2024. The Africa and Middle East (AME) region accounts for 85% of total blocked funds, at $1.1 billion as of end April 2025.
The most significant improvement was noted in Bolivia, fully clearing its backlog that stood at $42 million at end October 2024.
Africa Leads Global Challenge in Airline Profit Blockade | AviationGhana | Send all enquiries and press releases to AviationGhana.info@gmail.com
