Airlines Expand African Investments

An article in Businessweek today highlighted the growth potential in Africa for airline companies looking to expand their market share, noting that a growing oil and gas business has swelled demand for air travel. According to the article, airline giant Lufthansa "predicts air-travel demand in Africa will increase an average 6 percent annually until 2025, helped by a burgeoning raw-material industry and a growing middle class." While political risk is cited as an issue, the article also notes that airlines are showing a willingness to move forward because of the high potential rewards from the investment.