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Gianmaria Martini and Davide Scotti

This chapter analyses the evolution of the African airline industry by looking at the main policies that have been adopted, trends in the various airline markets within and without Africa between 1997 and 2013 and changes in the airline industry in the near future as it confronts continuing institutional challenges. Despite the growth in traffic in both intra-African and intercontinental flows and the increases in both the number of airlines and the level of competition, air transportation in Africa is still suffering from some long-standing weaknesses, including a lack of interconnectivity, an unbalanced traffic distribution, higher (compared to the rest of the world) fares and airline costs, and sparse demand. In sum, the market for air services in Africa is, overall, clearly healthier than in the past but, with a few notable exceptions, still lacks the capacity and service levels found in most other parts of the world.