To coincide with Africa’s first African business aviation conference and exhibition (AfBAC), which runs from 29th November to 1st December in Johannesburg, South Africa, new analysis of industry data by Global Jet Capital, a global leader in financial solutions for private aircraft, reveals that the continent’s business jet market is set for significant growth.
The company predicts that the African private jet fleet will grow by more than 25% by 2025, with 160 new aircraft being delivered to the continent. These aircraft are forecast to have a total value of around $3.9bn, or just under $500m per year.
A key driver behind this growth will be the southern Africa region which is expected to account for around a third of all the jets based in the continent.
The total value of the jets to be delivered to southern Africa by 2025 is predicted to be around $1.4bn. One of the big challenges in ensuring these forecasts are met and that Africa benefits from the advantages of business aviation is to have the financing solutions available to support aircraft acquisitions.
This will be a major focus of AfBAC this week in Johannesburg, arguably the key business aviation hub on the continent and thus the perfect location to host the event.
Simon Davies, VP Sales, Middle-East and Africa for Global Jet Capital, will be speaking at AfBAC on how the industry can maximize its potential and stimulate demand.
Davies said: “We recently carried out research amongst business aviation professionals which showed that more than three quarters expect the demand for aircraft financing to increase in the next five years.2 It is critically important that clients are able to access financial support in order to continue to develop the African business aviation fleet.”
“We are seeing a growth in global demand for operating leases, which have the advantage to the operator of placing the residual risk of the aircraft with the lender rather than the lessee. We expect to see this trend in African markets as well and look forward to discussing these options at AfBAC this week.” (africanaerospace)