Continued Investment in Aviation Critical as Ethiopia’s Passenger Demand Triples by 2044

The International Air Transport Association (IATA) called on the Government of Ethiopia to continue prioritizing aviation to sustain the country’s strong demand outlook for air travel. With Ethiopia’s passenger numbers expected to triple over the next 20 years, continued investment in infrastructure, people, and sustainability will be critical to further expanding aviation’s contribution to Ethiopia’s long term economic growth.

Aviation already delivers significant economic and social benefits to Ethiopia. Data from IATA’s Value of Air Transport report (2023) shows that aviation supports:

• USD 2 billion in economic activity, including wider supply chain, employee spending, and tourism impacts—equivalent to 1.2% of GDP
• 527,000 jobs supported across the economy, including aviation, supply chains, and tourism
• 248,400 tonnes of air cargo, supporting trade and connectivity

The full study is available here.

“Aviation plays a central role in Ethiopia’s economic growth, and this has been the result of deliberate and strategic government prioritization. Air transport contributes USD 2 billion to GDP and supports more than half a million jobs—but there is clear potential to grow this contribution further. Passenger demand is expected to triple over the next 20 years, and with 60% of Ethiopia’s population under the age of 25, aviation presents a powerful opportunity to transform growth into jobs, skills, and broader economic development. With continued focus on cost efficient infrastructure, training and capacity building, and sustainability, aviation can deliver even greater long term value for Ethiopia,” said Kamil Alawadhi, IATA’s Regional Vice-President for Africa and Middle East. 

These priorities are being addressed at IATA’s Focus Africa Conference, underway in Addis Ababa, which brings together industry leaders and government representatives to identify concrete actions to strengthen aviation across the continent and optimize its contribution to sustained economic growth.

Key priorities for Ethiopia

IATA outlined three key priorities to sustain Ethiopia’s aviation growth and maximize its economic impact:

• Cost-efficient infrastructure: As Ethiopia develops its new Bishoftu airport, IATA urges the government to prioritize cost efficiency and close coordination with airlines and users, in adherence to ICAO policies. Early engagement on Operational Readiness and Airport Transfer (ORAT) will be essential to ensure a safe and efficient transition of operations and to meet rapidly growing passenger and cargo demand.
• Training and capacity-building: Continued investment in aviation training and education through institutions such as Ethiopian Aviation University, an IATA Authorized Training Center, will strengthen the pipeline of aviation professionals needed over the next 20 years. This includes pilots, engineers, cabin crew, and ground operations specialists. A skilled and qualified workforce will enable Ethiopia to meet strong demand while maximizing aviation’s long term economic contribution.
• Sustainability: Prioritizing sustainability will support Ethiopia’s long term aviation and economic growth. With an estimated 16.1 million CORSIA eligible emissions units (EEUs) available in the near term, Ethiopia can unlock sustainable climate finance through global carbon markets while supporting international aviation’s climate objectives. IATA encourages the Government of Ethiopia to advance the issuance of Letters of Authorization to enable the use of these units under CORSIA, strengthening Ethiopia’s position in global carbon markets and aligning future aviation growth with the industry’s goal of achieving net zero carbon emissions by 2050.