Page 72 - World Airnews News July 2020 Edition

AFRICAN

NAVIGATING THROUGH THE

STORMS

By Kaleyesus Bekele

The COVID-19 pandemic
has brought down the airline
industry to its knees. Globally,
more than 13,000 aircraft are
grounded and many airlines
have declared bankruptcy.
According to the International
Air Transport Association
(IATA), the global airlines
industry would lose 314 billion
dollars revenue putting 65
million jobs at risk. The Reporter: The COVID-19 pandemic times like civil war, famine and epidemics
is negatively impacting the aviation
like SARS, MERS and Ebola. We have also
IATA estimated that African industry. How seriously is Ethiopian witnessed the turbulent time in the wake
airlines would lose (US) six Airlines affected by the impacts of the of the 9/11 terrorist attack in the US. But
billion revenue. pandemic? none of them come close to the impacts of
COVID-19. This is scary.
Tewolde Gebremariam: The COVID-19
The biggest aviation group on pandemic is creating unprecedented COVID-19 has caused a financial and
the African continent, Ethiopian crisis in the world. One third of the global operational crisis on Ethiopian Airlines.
Between March and April we have lost 550
Airlines Group, has reported population is under lockdown. More than million dollars in revenue.
1.5 billion students have interrupted their
a revenue loss of (US) 550 education and are staying at home. People
million. The national flag carrier are not traveling and due to the flight The Reporter: It has been reported
restrictions airlines are not flying. This
has reduced its operation by 90 has caused a huge economic crisis that that Ethiopian Airline would lose USD
percent and grounded most of brought down the global airline industry to one billion?
a standstill. People are losing their jobs. If
Tewolde Gebremariam : If we calculate
its fleet. we look at the US, 40 million people have it the amount of revenue that we would
Kaleyesus Bekele of The lost their jobs. lose by the end of the fiscal year in end of
The first victim of the global economic
Reporter sat down with crisis is the airline industry. The hotel and June it would be to the tune of USD one
Tewolde Gebremariam, tourism industry is seriously affected by billion. Ethiopian Airlines is facing several
challenges. We can divide the global airlines
Ethiopian Airlines Group CEO, the global economic crisis. In Africa most in two. Some of the airlines have received
countries have closed their airspace. There state funding to cover their expenses.
to discuss the adverse impacts is no passenger traffic at the moment Other group of airlines had problems and
of COVID-19 on the airline. so airlines have parked their passenger they are unable to stand on their own two
aircraft.
Here is his interview Ethiopian Airlines passenger traffic feet even before the COVID-19 crisis.
Ethiopian Airlines is not in those two
market has evaporated. Only five to ten groups. The fact that it did not go bankrupt
percent of the market remains. So the and did not seek state bailout makes it a
airline has parked almost all its passenger unique airline. Ethiopian Airlines did not lay
aircraft at the Bole International Airport. off its employees and it did not cut off staff
It is heartbreaking to see all those aircraft salary. Several airlines have reduced staff
parked at the airport. salary. Nigeria’s Arik Air slashed staff salary
We have gone through many challenging by 80 percent, RwandAir by 40 percent and

World Airnews | July Extra 2020
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