Airline industry faces challenges with $1.7 billion funds blocked globally

A significant amount of airline funds, totaling $1.7 billion, remains blocked by various governments worldwide. According to recent data, nine countries are responsible for 83% of these funds, which amounts to $1.43 billion.

Pakistan leads the list with $311 million in blocked funds, though this is an improvement from $411 million in April 2024. The delays are attributed to issues with audit and tax exemption certificates. Bangladesh follows with $196 million in blocked funds, down from $320 million earlier this year. The Central Bank of Bangladesh is urged to prioritize airlines' access to foreign exchange.

African countries account for approximately $1 billion of the blocked funds, representing about 59% of the global total. Notable reductions have been observed in Algeria and Ethiopia over the past six months. However, increases were noted in the XAF Zone, Mozambique, and XOF Zone.