African airlines ended 2025 on a strong note, leading the world in air cargo growth and recording double‑digit gains in passenger traffic, according to the latest figures from the International Air Transport Association (IATA).

Air cargo demand across the continent surged 15.6 percent year‑on‑year in November 2025, the highest regional growth globally and nearly triple the 5.5 percent worldwide average. Capacity rose by 18.1 percent, yet the load factor held firm at 44.2 percent, underscoring robust underlying demand and expanded regional connectivity — particularly along the Africa–Asia corridor, where volumes grew 9.5 percent.

Globally, freight demand measured in cargo tonne‑kilometres (CTKs) increased 5.5 percent in November, supported by stronger trade flows and firmer manufacturing output. “Air cargo demand grew 5.5 percent year‑on‑year, boosted by shippers prioritising timely delivery ahead of the peak season,” said Willie Walsh, IATA’s Director General. He noted that resilience in emerging markets — including Africa — helped offset weaker performance in the Americas amid tariff shifts and supply‑chain adjustments.

African airlines also led the world in passenger growth, with an 11.2 percent year‑on‑year increase in international traffic for November 2025, outpacing every other region. Capacity expanded 8.5 percent, pushing the load factor up 1.8 percentage points to 74.3 percent. Across all markets, global passenger demand rose 5.7 percent compared to November 2024, while the overall load factor reached a record 83.7 percent.

“Continued strong demand for air travel and high load factors show the industry’s resilience even as manufacturers struggle to meet aircraft delivery schedules,” Walsh said, referring to the record 17,000‑plus aircraft order backlog carried into 2026.

Asia‑Pacific, the Middle East, and Europe also posted solid passenger gains, while North America experienced the weakest growth, reflecting lingering effects of tariff policy and a U.S. domestic demand slowdown.

With both passenger and cargo performance surging, the IATA report suggests Africa’s aviation sector is entering 2026 with renewed momentum — buoyed by expanding trade routes, improved connectivity, and opportunities linked to the African Continental Free Trade Area (AfCFTA).

The Ethiopian Securities Exchange (ESX) has reported its first audited profit, posting a net income of 81.8 million birr for the financial year ended 30 June 2025, according to its newly released audited financial statements. Total income reached 126 million birr, driven largely by 119.9 million birr in other income, mainly interest from short-term investments, while operating income from core exchange activities amounted to 6.16 million birr from interbank money market operations, listing and membership fees. Despite total expenses of 174.4 million birr, the exchange closed the year in the black, aided by a 33.5 million birr tax credit that boosted the bottom line.​

ESX’s total assets stood at 1.11 billion birr at the end of the reporting period, reflecting heavy upfront investment in technology and infrastructure for the new market. Cash and cash equivalents amounted to 292.2 million birr, complemented by a 300 million birr short‑term investment and 423.2 million birr in non‑current assets, including 135.5 million birr in property, plant and equipment and 124.9 million birr in software and trading systems. The exchange remains strongly capitalised, with paid‑up capital of 1.03 billion birr and total equity of 916.8 million birr, while 75 percent of its shares are held by private investors, including Ethiopian Investment Holdings, Trade and Development Bank (TDB) and Ayat Share Company as major shareholders.​

Employee salaries and benefits were the largest cost item at 66.3 million birr, followed by 57.4 million birr in other operating expenses and 45.8 million birr in amortisation and depreciation, underscoring the investment-heavy nature of the start‑up exchange. ESX has spent over 128 million birr on key technology platforms, including its automated trading system, broker back office, ESX Digital Academy and interbank money market system, which are capitalised as intangible assets. A further 162.9 million birr is booked as right‑of‑use assets for leased premises, with lease liabilities of 87.3 million birr on the balance sheet.​

On the operational front, the year under review marked the formal launch of ESX’s securities market after the Ethiopian Capital Market Authority granted exchange and over‑the‑counter licences in December 2024. Wegagen Bank became the first company to list on 10 January 2025, followed by Gadaa Bank in June 2025, while Ethio Telecom secured regulatory approval to list and government Treasury bills began trading as the first fixed‑income instruments on the platform. ESX’s electronic interbank money market, launched in October 2024 in partnership with the National Bank of Ethiopia, saw more than 820 billion birr traded during the financial year, rising above 1 trillion birr by September 2025.​

The board, chaired during the reporting year by Helaway Tadesse, held 16 meetings and oversaw the adoption of a five‑year strategic plan that targets 1 trillion birr in equity market capitalisation, 50 listed companies and 3 million retail investors by 2029. HST Audit LLP, the independent auditor, issued an unmodified opinion, stating that ESX’s financial statements for the year ended 30 June 2025 present fairly, in all material respects, the company’s financial position and performance in line with International Financial Reporting Standards and Ethiopian commercial law. The directors confirmed the exchange is a going concern and reported no material post‑balance‑sheet events, litigation or regulatory non‑compliance for the period under review.

Ethiopian importers have voiced growing frustration over what they describe as inconsistent and bureaucratic customs procedures that are disrupting cross-border trade and driving up the cost of essential commodities.

Importers of food and other basic goods say the Ethiopian Customs Commission’s documentary requirements are “unrealistic and retroactive,” with changing regulations often applied to goods already en route. One key grievance concerns a demand for the submission of a Bill of Lading (BoL)—a maritime shipping document—even for products transported overland from the Djibouti Free Trade Zone.

“New directives often come out while our shipments are still on the way,” said one importer during recent consultations between the Customs Commission, manufacturers, and freight forwarders on Customs Valuation Directive No. 1080/2025. “We start the process following one rule, but by the time the goods arrive, the rules have changed. This exposes us to penalties we could not have anticipated.”

Traders argue that frequent procedural changes have particularly affected those dealing in basic food items, where slim profit margins leave little room for delays or unexpected costs. They warn that bureaucratic hurdles—such as requiring maritime documentation for land shipments—threaten to disrupt the supply of staples like sugar and edible oil, ultimately pushing up consumer prices.

Several importers also complained about the Commission’s post‑clearance audit (PCA) practices. They allege that customs auditors, years after goods have been cleared, distributed, and sold, return to demand additional payments for “sea freight” costs—even on shipments that never involved maritime transport. “Two or three years later, they come back and tell us to pay transport fees and fines after the goods have long left the market,” one importer told Capital. “This is a financial burden many small traders cannot withstand.”

Responding to these concerns, Zemenu Zegeye, Director of the Valuation and Development Directorate at the Ethiopian Customs Commission, acknowledged that earlier rules had indeed made the submission of BoL and marine insurance mandatory for imports from neighboring countries. He clarified, however, that the latest directive has lifted those requirements.

“The previous directive required importers to submit the Bill of Lading and marine insurance, but under the new directive, these requirements have been fully removed,” Zemenu said. He explained that importers now only need to verify that the declared price reflects the actual transaction value.

Zemenu further noted that the Commission determines import values using standardized valuation methods—not arbitrary estimates. “Customs does not guess value,” he emphasized. “We rely on six scientific valuation methods, which include comparing similar imported goods within the last 90 to 180 days, conducting local market studies, and consulting international price databases.”

The Ethio-Djibouti Railway SC (EDR) is set to significantly enhance its operational capacity by doubling its fleet of freight wagons and electric locomotives by the end of the year.

This expansion is part of a strategic transformation, transitioning from managing the critical cross-border rail link to becoming a diversified holding company with interests in multimodal logistics, construction, and large-scale civil engineering.

Currently, EDR operates 1,100 freight wagons and 35 electric locomotives, and the planned fleet increase is expected to substantially improve its cargo handling capabilities in the coming months. At the same time, the company is pursuing several key infrastructure projects to expand its network.

Among these projects is a three-kilometer spur line connecting the AMG Industrial Park to the Gelan station, which is already in progress, along with civil works to link the Horizon Djibouti Terminals Limited (HDTL) oil terminal in Doraleh to the main railway line in Djibouti.

This latter connection is expected to significantly enhance railway operations by integrating oil transportation into the rail freight system.

Additionally, EDR is interested in a future 47-kilometer dual-line project that would connect Bole International Airport to the planned airport city in Bishoftu.

This ambitious expansion is supported by strategic partnerships. EDR has signed a technical consultation agreement with the China Civil Engineering Construction Corporation (CCECC), leveraging CCECC’s extensive regional experience to strengthen EDR’s project execution capabilities.

A recent high-level visit from an ENOC Group delegation, led by Acting CEO Hussain Sultan Lootah, highlights the growing international collaboration.

Invited by EDR’s CEO, the delegation toured the AMG plant to gain insights into rail-connected facility operations relevant to HDTL’s projects.

During his regional tour, Lootah emphasized ENOC Group’s commitment to enhancing energy infrastructure and fuel storage capabilities in East Africa. His discussions in Djibouti and Addis Ababa, which included meetings with Djibouti’s President Ismail Omar Guelleh and Ethiopia’s Minister of Finance, focused on strengthening ties to promote regional logistics and economic growth.

A key outcome of these discussions was the agreement to establish a dedicated task force with a regular meeting schedule and a mechanism for rate determination.

Under the strategic vision articulated by CEO Takele Uma, EDR is now aligning its operations around three core pillars: railway operations, global logistics (led by EDR Global Logistics), and a dedicated engineering division.

This pivot positions the company to effectively manage its rapid diversification and play a central role in driving sustainable development and regional integration.