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Regional airports make significant contribution to economy: ACSA

Feb 15, 2019
Regional airports make significant contribution to economy: ACSA

Airports Company South Africa’s regional airports in George, East London, Port Elizabeth, Bloemfontein, Kimberley, and Upington, are making a significant impact in the South African economy.

This is in the form of job creation, contributions to gross domestic product (GDP), tax revenues and investment into infrastructure development.

In 2017/18 financial year Airports Company South Africa and its nine South African airports contributed R9.5 billion towards GDP (0.3% of national GDP), supported 14,950 jobs (direct and indirect) and R2.8 billion of income to workers in South Africa.

Said Senzeni Ndebele, Airports Company South Africa’s corporate affairs senior manager:

“Airports have always had a significant role to play in enabling regional economic growth. They permit connections between cities, which catalyses economic activities through amenities and needs for non-residential passengers in transit, as well as supporting aviation-related services, co-located commercial developments and the provision of infrastructure.”

George Airport has a direct, indirect and induced impact on the growth of the economy in the regional sector. In 2017, the airport contributed 107 million Rands towards GDP, which amounted to a 0.03% contribution to provincial GDP. The airport has also created 225 jobs in the region with a total income contribution of 42 million rands for employees in the regional sector.

Airports Company South Africa is exploring regional partnerships that will result in route expansions and additional route options at its six regional airports.

Port Elizabeth has already signed such an agreement in partnership with the Nelson Mandela Bay Tourism as well as the Nelson Mandela Bay Business Chamber to increase capacity to the Eastern Cape Region. 

The Western Cape is South Africa’s most developed tourism region, with the tourism industry in the province growing faster and creating more employment than any other industry.

One in ten employees in the Western Cape earns a living in the tourism industry, and it contributes more than R25 billion to the provincial economy. George Airport is instrumental in transporting tourists and holiday-makers to the region, contributing to the overall tourism figures.

“Our regional airports are gateways for the growth to domestic tourism and we are committed to exploring partnerships that will catalyse economic opportunities and boost job creation around our regional airports,” said Senzeni Ndebele. 

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