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ECOWAS: Why Airfares Remain High One Month After Tax Cuts

ECOWAS: Why Airfares Remain High One Month After Tax Cuts
Thursday, 29 January 2026 08:44
  • ECOWAS cut aviation taxes and reduced passenger and security charges by 25% from Jan. 1, 2026, but ticket prices have yet to fall.

  • Member states have not fully transposed the decision into national regulations, preventing airlines from adjusting fares.

  • Fiscal dependence on aviation taxes and new charges introduced by states and regional agencies offset expected price reductions.

In West Africa, high airfares continue to constrain regional air travel, as taxes sometimes exceed base fares. To address the issue, the Economic Community of West African States (ECOWAS) announced the removal of certain aviation taxes and cut passenger and security charges by 25% from Jan. 1, 2026.

One month after the announcement, airfare costs have yet to decline, highlighting weaknesses in the national implementation of the regional decision.

Although ECOWAS adopted the measure at the community level, member states have not fully transposed it into national regulatory frameworks. Aviation experts said governments must first formalize tax reductions or removals through decrees or ministerial orders before transmitting the changes to ATPCO, the Airline Tariff Publishing Company. ATPCO operates under the International Air Transport Association and configures taxes in airline pricing systems. Only then can airlines automatically apply new charges in their reservation systems. However, countries including Côte d’Ivoire, Senegal and Nigeria have yet to publish implementing texts, effectively maintaining the status quo.

A measure struggling to reach airline pricing

Airline booking systems continue to display taxes and fees in full, confirming that authorities still legally require the charges. A fare simulation conducted across several airlines, including Air Côte d’Ivoire, on the Abidjan–Dakar route for travel in late January 2026 showed taxes and fees totaling 257,100 CFA francs ($469.7), compared with a base fare of 218,100 CFA francs. Taxes therefore accounted for more than half of the total ticket price of 485,200 CFA francs. The breakdown confirmed that the regional decision has yet to translate into fares applied to passengers.

This situation has raised multiple questions over the delayed implementation and the status of ongoing discussions with airlines. Authorities have yet to provide any public response.

In November 2024, ECOWAS transport ministers adopted a roadmap calling for the repeal of regulations deemed inconsistent with International Civil Aviation Organization standards and for a 25% reduction in passenger and security charges. Heads of state approved the roadmap and validated its entry into force from Jan. 1, 2026. However, ECOWAS granted member states a one-year transition period to adopt the necessary budgetary measures.

To ensure compliance, ECOWAS has announced plans to establish a monitoring mechanism.

AVSIDE1

Economic impact on member states

The reform aims to stimulate regional mobility, trade and tourism while strengthening economic integration within ECOWAS. However, its success depends on the ability of member states to offset fiscal losses from abolished aviation taxes and to harmonize air transport regulations.

In practice, tax removal remains complex. In most countries, aviation taxes represent major funding sources for infrastructure maintenance, modernization, equipment renewal and operating costs. The dependence intensifies as governments finance airport expansions through public-private partnerships that rely on concession contracts allowing private investors to recover costs through fees and charges.

Paradoxically, some states have raised or introduced new charges since ECOWAS announced the tax cuts in December 2024. Ghana will increase immigration data processing fees by $9 from Feb. 1. Nigeria raised similar fees by $11.5 from Dec. 1, 2025.

Meanwhile, the Agency for the Safety of Air Navigation in Africa and Madagascar, which manages air navigation infrastructure across much of the region, announced a 15% increase in en-route navigation service charges, implemented at 5% per year over three years. The agency scheduled the increase to take effect from Jan. 1, 2026.

Expected impact on tourism

West Africa’s tourism sector continues to grow but remains heavily dependent on air transport as a key driver of accessibility and competitiveness. Beyond passenger flows, air connectivity supports the entire tourism value chain, including hotels, restaurants and ground transport.

PERSSIDE2

Tourism contributes about 6.5% of gross domestic product in Côte d’Ivoire. In Benin, the sector accounts for roughly 6% of GDP, and authorities aim to raise the share to 13.4% by 2030. However, progress depends on improved regional accessibility, as air transport costs remain a major constraint.

Without fare reductions exceeding 40%, as advocated by ECOWAS, the expected tourism boost and projected demand growth of 20% to 30% have yet to materialize. Intra-ECOWAS travel remains more expensive than some routes outside the region, limiting demand. The situation continues to weigh on aircraft load factors and, in turn, airline margins. For West African destinations, the anticipated multiplier effect on mobility, hotel occupancy and cultural exchanges remains muted.

Another policy test for ECOWAS?

The implementation challenge poses a broader test for ECOWAS and risks once again exposing the gap between regional ambition and political and economic realities. Recent history shows that several flagship initiatives have stalled due to internal divergences and structural constraints.

The planned launch of the ECO, the region’s single currency, illustrates the difficulty. Authorities initially scheduled the project for July 2020 but delayed it repeatedly due to failures to meet macroeconomic convergence criteria, disagreements over monetary governance and shocks from political instability and the Covid-19 pandemic. Despite renewed commitments to launch the currency in 2027, many observers continue to question ECOWAS’s ability to overcome these obstacles.

This article was initially published in French by Lydie Mobio, Ingrid Haffiny and Henoc Dossa

Adapted in English by Ange J.A de BERRY QUENUM

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