Following major losses reported by South African Airways and Kenya Airways, Africa’s aviation sector aims to restructure through long-term financing and Turkish partnerships.
Leading carriers operating in Africa’s aviation sector are exploring strategic partnership and capital cooperation opportunities with Turkish Airlines (THY) and the Turkey Wealth Fund (TVF).
The continent’s airlines are in need of long-term investment capital due to short-term financing constraints and rising operational costs.
Winds of Loss in African Airlines
According to the latest financial reports, South African Airways reported a loss of USD 20.33 million in the 2023/24 fiscal year, while Kenya Airways posted a loss of USD 96.98 million in the first half of 2025.
These developments have accelerated the search for new funding sources and strategic investors among many African airlines seeking sustainable growth.
The Role of the Turkey Wealth Fund
With assets valued at USD 224.04 billion in total, the Turkey Wealth Fund (TVF) stands out as the largest shareholder in Turkish Airlines, holding a 49.12% stake.
Industry stakeholders in Africa note that capital injections from TVF and joint venture models to be established with Turkish Airlines could provide long-term stability in the continent’s aviation industry.
Messages from the Türkiye-Africa Business Forum
At the 5th Türkiye-Africa Business and Economic Forum held in Istanbul, discussions highlighted that many African airlines are overly dependent on short-term bank loans, which increases financial vulnerability.
Professor Linjap stated in his speech:
“The African aviation sector lacks the instruments to finance long-term obligations. Yet this is exactly what the industry needs. Investment should be directed towards asset management companies both in Türkiye and across Africa.”
Linjap also noted that the increasing trade volume under the African Continental Free Trade Area (AfCFTA) would create strong demand for aviation expansion over the next decade, which in turn would require capital markets-based financing.
Search for Strategic Investors
Leading carriers such as Kenya Airways and South African Airways plan to strengthen their financial structures through new capital inflows and restructure their operations via strategic partnerships.
Mahmood Niazi Hoolash, former Chief Financial Officer of Air Seychelles, emphasised the importance of private sector investment, stating:
“If aviation investments in Africa are supported by risk mitigation strategies, idle capital will return to the sector. This will accelerate growth.”
Single African Air Transport Market (SAATM) on the Agenda
The African Union is calling on countries to review their bilateral aviation agreements with external nations and transition to the Single African Air Transport Market (SAATM) framework.
Professor Linjap stated:
“We must ensure private capital flow across the continent. However, existing bilateral agreements are slowing this process. Countries are reluctant to exit these agreements due to concerns over revenue loss from airport parking and service fees.”
Aero Haber X-Twitter you can follow his account. Follow
