Another month of mixed fortunes for Africa’s airlines as passenger demand soars amidst cargo dip in May

July 1, 2025 in Business, Transport, Travel & Tourism by Editor

African airlines posted robust performance in the global air passenger market in May 2025, recording the highest year-on-year growth across all regions. However, the buoyant passenger numbers stood in sharp contrast to a decline in the region’s air cargo demand, underlining persistent challenges in trade and logistics.

According to the latest data released by the International Air Transport Association (IATA), passenger demand on the continent rose by 9.5pc compared to May 2024, outpacing the global growth rate of 5.0pc. That growth came off a 6.2pc increase in capacity by African carriers, while the passenger load factor – a measure of how much available seating was sold – reached 74.9pc, up 2.2 percentage points over the same period last year but 8.5pc below the global average.

That performance positioned Africa as a standout performer among global regions, despite contributing a relatively modest 2.2pc to the world’s total revenue passenger kilometers (RPKs). Notably, the Africa-Asia corridor was the fastest-growing international route in May, with a 15.9pc year-on-year expansion – a signal of deepening connectivity and emerging demand along South-South trade lanes.

Globally, international air travel demand rose by 6.7pc, while domestic travel increased by 2.1pc. Overall, the industry recorded a load factor of 83.4pc, slightly below May 2024’s levels. IATA Director General Willie Walsh attributed the uneven global growth to geopolitical tensions and shifting travel patterns, particularly the slowdown in North American markets.

“Africa’s passenger growth performance is impressive,” Walsh said. “But the disparity between passenger and cargo trends in some regions, including Africa, reflects broader economic headwinds and the shifting nature of global trade.”

Indeed, on the cargo front, African carriers saw a 2.1pc year-on-year dip in demand in May. This downturn came despite a 2.7pc increase in available cargo capacity, resulting in a subdued cargo load factor of 42.2pc – below the global average of 44.5pc.

Globally, air cargo demand in May rose by 2.2pc, supported by stable jet fuel prices and resilient supply chain adjustments in the face of volatile trade policies, particularly between Asia and North America.  While the Africa-Asia route still showed strength, experts say the broader cargo contraction highlights structural issues in intra-African trade, infrastructure inefficiencies, and exposure to commodity-driven markets.

The disparity between robust passenger growth and weakening cargo demand poses a strategic question for African carriers: how to balance capacity and investment across both segments of air transport. Air cargo, while representing less than 1pc of world trade by volume, accounts for over 33pc of global trade by value. This means African carriers must tread carefully to avoid lagging behind in the high-value, high yield freight segment.