Airlines confident in economy

The increasing number of international carriers is a sign of confidence in the country’s economy despite the current economic challenges, says Philippe Saeys-Desmedt, Vice President Sales Africa and Global Cargo, Brussels Airlines.

“I think the Ghanaian economy is much better than other economies in Africa which are also doing well. If it were a traffic-light, I think the economy is all green. I do not think that other international carriers would be coming here if the market was not big enough.

“If the market was saturated many airlines would have left, but we see the contrary. More and more airlines are coming in. The market is still growing. There are no sign of overcapacity or saturation within the region,” he said at a briefing to formally announce the presence of Brussels in the country.

A persistent power-rationing regime coupled with an unstable currency and other economic challenges continue to dampen the confidence of businesses in the country, thereby stifling investments and productivity.

The AGI Business Barometer, which collates the views of business chieftains in the private sector on their expectations of the business environment over specified periods, has failed to pass the 100-point mark. Per the report, the volatile cedi and lack of access to credit are among the top-five challenges limiting the gains and productivity of the country’s businesses.

However, the current challenges have not deterred existing airlines from increasing their frequencies or new ones from coming in.

There are about 37 international, regional and domestic airlines servicing the Kotoka International Airport (KIA), Accra. This is a huge increase from the 15 carriers that serviced KIA in 2000. Over 2.3 million passengers used the KIA last year.

Prominent international airlines operating flights into Accra include Brussels — which started operations on Monday; Emirates, KLM, British Airways, TAP Portugal, Turkish, Arik, Aero, Asky, and South African Airways are among others.

Nigerian carrier Dana Air is also expected to start commercial passenger operations on November 10, 2015.

Brussels’ re-entry into the market after it suspended operations in Ghana some years ago follows a decision by management to suspend Lufthansa’s operations and allow its sister company, Brussels, to operate in the market.

Mr. Saeys-Desmedt said: “With the booming economy in Accra, I see no reason why we would not succeed. We have succeeded in 18 different countries in Africa, and there’s no reason why we should not succeed in this one. There is also more and more trade between Europe and Ghana, and we want to be part of that exchange”.

Statistics from the Ghana Export Promotion Authority (GEPA) indicate that 34% of the country’s Non-Traditional Exports end up in the EU market, 10% in other developed countries — with about 32% for the Economic Community of West African States (ECOWAS) market.

Brussels Airlines, a member of Lufthansa Group and a Star Alliance member, will operate flights on an Airbus A330-300 or A330-200 from Accra to the Belgian capital Brussels, with onward connections to destinations in Europe, the Americas, and the Middle East four times a week: Monday, Wednesday, Friday and Saturday.

Brussels is also moving out of Kenya, with Lufthansa taking over operations in the East African country.

Brussels Airlines has a significant presence in West Africa and the Great Lakes region. It operates flights from the Belgian capital to and from Banjul, Cotonou, Abidjan, Conakry, Dakar, Lomé, Monrovia, Ouagadougou, Luanda, and Kinshasa among others.

“We have the advantage of taking over the staff of Lufthansa who have the experience,” Mr. Saeys-Desmedt said.