SA�s embargo on Ethiopian Airlines hurts Botswana
Friday, August 14, 2015
From Addis Ababa, the airline can only drop passengers in Gaborone and then proceed to Cape Town without picking up passengers here. Observers noted that the decision taken by the South African Civil Aviation Authority (SACAA) has dealt a blow to Botswana as the country has hoped that the new route would play a critical role in the expansion of trade, tourism and investment, facilitating mobility and connectivity for businesses and leisure travellers.
Economists at Econsult, a private economic consultancy firm based in Gaborone, said although Ethiopian Airlines has started direct flights from Addis Ababa to Gaborone, Botswana may lose out on the economic benefits due to the restrictions. They noted that the coming of the airline marks a significant expansion of air connectivity, which should benefit both local tourism and business services.
While the political shift brings hope for change, it also places immense pressure on the new administration to deliver on its election promises in the face of serious economic challenges.On another level, newly appointed Finance Minister Ndaba Gaolathe’s grim assessment of the country’s finances adds urgency to the moment. The budget deficit, expected to be P8.7 billion, is now anticipated to be even higher due to underperforming diamond...