You are here

Business

Business section

IATA and UNEP Unite to Tackle Aviation's Environmental Challenges, With Focus on Plastic Pollution

Jun 07,2023 - Last updated at Jun 11,2023

AMMAN-N The International Air Transport Association (IATA) and the United Nations Environment Programme (UNEP) have come together to sign a Memorandum of Understanding (MoU), in line with the UN 2030 Agenda for Sustainable Development. This collaboration aims to tackle the pressing sustainability issues faced by the aviation industry.

The partnership will initially concentrate on the reduction of problematic single-use plastic products (SUPP) and enhancing plastic circularity within the industry. As UNEP spearheads global attempts to form an international legal agreement to combat plastic pollution by 2024, these initiatives hold significant importance.

The sustainability of aircraft cabins is a priority for both airlines and passengers. However, the complex and asymmetrical regulatory landscape often hinders the implementation of circular economy best practices. With varying regulations across different journey points, the potential actions airlines can take are considerably limited.

IATA advocates for a streamlined and harmonized regulatory environment that facilitates plastic reduction and promotes the reuse and recycling of cabin waste, including plastics. The partnership will amplify IATA's collaboration with UNEP to ensure the unique challenges and opportunities within aviation are represented in the forthcoming international agreement to end plastic pollution.

IATA and UNEP have already commenced work on a joint guidance document titled "Re-thinking Plastics in Aviation." This resource will provide an overview of regulations, guidelines on SUPP replacement, and propose best practices for both industry and regulators.

Marie Owens Thomsen, IATA's SVP Sustainability and Chief Economist, noted the critical need for a global regulatory framework to enable airlines to implement comprehensive circular economic solutions across all markets. She highlighted the potential benefits of modernizing outdated regulations focusing on incineration over reuse and recycling.

Sheila Aggarwal-Khan, Director of UNEP’s Industry and Economy Division, expressed excitement over the partnership, highlighting the importance of the industry transitioning to net-zero, reducing food waste, and moving away from SUPP.

The urgent need for global action is emphasized by the production of over 400 million tonnes of plastic every year, with only nine percent recycled. This partnership between IATA and UNEP also intends to extend their joint efforts towards knowledge sharing, guidance, and networking in other sustainability challenges including sustainable aviation fuel, sustainable finance, climate adaptation, biodiversity conservation, and sustainable tourism.

Dubai to host 80th IATA AGM

Jun 06,2023 - Last updated at Jun 11,2023

AMMAN- The International Air Transport Association (IATA) announced that Emirates will host the 80th IATA Annual General Meeting (AGM) and World Air Transport Summit in Dubai, United Arab Emirates, on 2-4 June 2024.

“We look forward to gathering the aviation industry in Dubai for the 80th IATA AGM in 2024. Dubai is a dynamic city and a major aviation hub connecting the world. The UAE’s positive approach to aviation has built a strong airline with a strong hub airport. Together, these make an enormously powerful and positive contribution to the society and economy of the UAE. Holding the AGM in Dubai will be a showcase of what can be achieved by aviation with supportive government policies and decisions,” said Willie Walsh, IATA’s Director General.

“Emirates is delighted to host the 80th IATA AGM and World Air Transport Summit. We look forward to welcoming all our aviation industry colleagues to Dubai in 2024,” said Sir Tim Clark, President Emirates Airline.

The decision to host the 80th IATA AGM was made by the 79th AGM in Istanbul. This will be the first time the UAE and Dubai will host the global gathering of aviation's top leaders.

 

Apple unveils Vision Pro, its $3,500 headset

New-generation Quest 3 to be available this year at starting price of $500

By - Jun 06,2023 - Last updated at Jun 06,2023

Apple CEO Tim Cook stands next to the new Apple Vision Pro headset is displayed during the Apple Worldwide Developers Conference on Monday in Cupertino, California (AFP photo)

CUPERTINO — Apple on Monday unveiled its first mixed reality headset, challenging Facebook-owner Meta in a market that has yet to tempt users beyond videogamers and tech geeks.

The release was the most significant product launch by the iPhone maker since it unveiled the Apple Watch in 2015.

The Vision Pro, which was generally well received on Monday, will cost a hefty $3,499 and be available early next year in the United States only, the company said.

"There are certain products that shift the way we look at technology and the role it plays in our lives," said Apple CEO Tim Cook as he unveiled the sleek VR device that resembled ski goggles.

"We believe Apple Vision Pro is a revolutionary product with the performance, immersion and capability that only Apple can deliver," he added.

The headgear, which Apple referred to as a spatial computer, was introduced at the close of an Apple event in Cupertino, California in which the company announced a long list of product updates.

The product has been in development at Apple for years, and will focus on gaming, streaming video and conferencing.

Company executives insisted that the Vision Pro offers an unchallenged experience, making the hard sell on tech that has yet to win the hearts of the greater public.

Unlike its rivals, the Vision Pro delivers mixed reality technology that "clearly situates the user in their environment", said Insider Intelligence principal analyst Yory Wurmser.

"Whereas Meta Quest and other devices are virtual reality-first, Vision Pro keeps the user in the present and emphasizes the mixed reality features — unless they choose otherwise," he added.

Vision Pro allows wearers to twist a watch-like "crown" to go from having interactive imagery augment one's surroundings to being fully immersed in a rich 3-D experience that feels like being in a video or on a sports playing field, a hands-on demonstration showed.

Apple went to great lengths to preserve its signature design minimalism, at least to the extent that it could, given the technology squeezed into the Vision Pro.

The device has a glass front, an alumium frame, five sensors, 12 cameras, a display for each eye, and a computer that is cooled with a fan. 

Smaller than a scuba diving mask, Vision Pro will run mainly by being plugged into a power source in a clear effort to preserve a sleek design.

A cord-attached battery pack, which would slide into your pocket, would work for no more than two hours.

Vision Pro optics are tuned to each wearer's eyes, freeing them from eyeglasses during use and also providing optical identification to verify user identity, the demonstration showed.

 

'Blown away' 

 

Tech companies have struggled to sell virtual reality headsets to a wider audience that is uncomfortable with wearing a mask.

In an effort to overcome that resistance, internal cameras on Apple's version will project the user's eyes on an external screen.

"As a non VR believer, I was actually blown away by how seamless the experience is," said tech analyst Carolina Milanesi of Creative Strategies.

While wearing Vision Pro one can see who is nearby, and even look them in the eyes and have a conversation.

Disney partnered with Apple for the launch and the Mickey Mouse company teased content from Marvel, Star Wars and live sports that would be available on the device and provide an immersive experience.

Apple said that over 100 video games would be available from the day of release.

 

Collision course

 

The release puts Apple on a collision course with Meta, which had taken a head start on doubling down on virtual worlds.

Just days before Apple's event, Meta ramped up its line of much cheaper Quest virtual reality headgear.

A new-generation Quest 3 will be available later this year at a starting price of $500.

Meta's experience with the so-called metaverse has been humbling despite it being a leader in the emergent sector and many questioned whether Apple would in the end jump in.

Less than two years after changing its name to Meta to reflect a metaverse priority, the Facebook giant has fired tens of thousands of staff and promised to get back to its social media basics.

 

Qatar minister picked to head UN labour conference

By - Jun 06,2023 - Last updated at Jun 06,2023

Geneva — Qatar's labour minister was on Monday appointed without a vote to head the International Labour Organisation's annual decision-making conference, despite union criticism amid concerns over labour conditions in Qatar. 

Asian and Pacific nations, which according to a regional rotation had dibs this year on selecting the president of the two-week International Labour Conference, had proposed Ali Bin Samikh Al Marri.

Usually, such picks are approved by acclamation, but this year, some unions had called for a vote, deeming that concerns around labour conditions in Qatar raised questions about the suitability of having a Qatari minister in the post.

But the group representing unions and workers' interests within the ILO's tripartite system — alongside government and private sector employer groups — said Monday that a deal had been reached and it could accept the appointment without calling for a vote.

Qatar has long faced harsh criticism over labour rights, especially in the lead-up to last year's football World Cup.

The country's treatment of migrant labourers came under particular scrutiny amid controversy over numerous deaths and injuries on mega construction projects.

Despite reforms, rights groups have said workers in Qatar continue to face exploitation and unsafe working conditions.

 

'Serious doubts' 

 

Union group head Catelene Passchier stressed that "Qatar has in recent years been the subject of scrutiny ... regarding the violations of fundamental rights of big numbers of migrant workers in the runup to the football World Cup". 

The Dutch unionist acknowledged that the country had since engaged with the ILO "on fundamental reforms to its legal system" and had made "improvements on the ground". 

But, she said, unions on the ground had continued to express "serious doubts" over Qatar's commitment to continue implementing the reforms.

This had spurred "extensive conversations" in recent weeks and days, she said, resulting in a joint understanding that Qatar should speed up the implementation. 

"We commend Qatar for stepping up its engagement with the ILO and the international trade union movement," she said, adding that the union group had accepted Al Marri's nomination.

After his appointment, Al Marri himself pointed out to the conference that his country had introduced a minimum wage and improved conditions for domestic workers.

"We know there is still work to be done, and we are committed to doing it," he said, stressing though that the social dialogue would need to be adapted to the "reality" in his country.

In a letter sent to its 338 affiliate national organisations, representing 200 million workers, the International Trade Union Confederation acting general secretary Luc Triangle said a meeting had been held on June 3 with Al Marri and that another would follow by late July.

"It was recognised that, while progress had been made which was an example to other countries in the region, more was needed to ensure decent work for migrant workers in Qatar," he said.

Among other things, he called for "the guaranteed right to operate and act by all global unions in Qatar."

 

Air Travel Reaches New Heights: Profitability and positive public sentiment indicate promising future-IATA Chief

By - Jun 06,2023 - Last updated at Jun 06,2023

AMMAN- Despite the economic uncertainties and a myriad of challenges, the air transport industry appears to be moving towards a profitable and sustainable future, according to IATA Director General Willie Walsh.

The industry has seen a resurgence in passenger traffic, reaching over 90% of 2019 levels. This resurgence signals a return to normalcy as people begin to travel for business, leisure, and reconnecting with loved ones, Walsh said.

However, despite the overall profitability of the industry, profit margins remain thin. With revenues totaling $803 billion, airlines are expected to share a net profit of $9.8 billion in 2023. This equates to a modest average earning of $2.25 per passenger. Although not sustainable in the long term, the rate of recovery is promising, particularly considering the industry's per-passenger loss of $76 in 2020, Walsh said during the group’s annual meeting.

Challenges still abound. Rising inflation, cost pressures, and a labor shortage in certain areas pose significant obstacles to the industry's growth. Frustrations have been further amplified by Original Equipment Manufacturers' (OEMs) slow response to supply chain blockages, which are escalating costs and hampering the deployment of aircraft, he said.

In addition, the industry has experienced financial pressure from oil companies profiting from high jet fuel costs and airports shifting the burden of their inefficiencies onto airlines. Examples include Schiphol Airport's continued 37% charges hike over three years, South African airports' proposed 38% charges increase, and the demands of Air Traffic Control (ATC) for a 63% hike, according to Walsh.

Furthermore, European airlines have faced a €1.9 billion increase in air traffic management costs in 2022, which has resulted in tripling anticipated delays, missed capacity, and environmental targets.

In light of these issues, the calls for lighter regulation of the industry's monopoly suppliers must not be heeded without serious consideration from government bodies.

Despite these considerable challenges, the fact that airlines are turning a profit at the industry level is impressive. The report highlights the potential for growth and profitability in the industry while underscoring the need for improved regulation, cost management, and operational efficiency, Walsh added.

The air transport industry, in spite of the trials and tribulations, has proven its resilience and value to the global community. Public sentiment towards the sector is decidedly positive, according to recent survey data. The vast majority, 87%, believe that air travel is critical and needs to be sustainable without curtailing freedom of movement. An impressive 88% of people feel that air travel positively impacts society, he added.

Air travel is not just appreciated for its role in connecting different parts of the world, it is also recognised for its contribution to global sustainability efforts. A significant 82% of people identify aviation as a key player in achieving the UN's Sustainable Development Goals. An overwhelming 91% view air connectivity as a modern necessity, and 81% of travelers cherish their ability to fly more now than before the pandemic.

The faith placed in the air transport industry by the public is well-founded. In the past year alone, airlines have successfully transported goods valued at $8.5 trillion, bolstering enormous economic opportunities across the globe. In 2023, the industry is poised to safely facilitate journeys for an estimated 4.4 billion flyers. These travelers will be able to conduct business, reconnect with loved ones, explore the world's wonders, fulfill their dreams, and broaden their horizons.

The air transport industry's value is inextricably tied to its commitment to safety, efficiency, and sustainability. As it continues to navigate the challenges and opportunities of the post-pandemic world, its role in facilitating global connectivity and sustainable development remains as crucial as ever, he added.

 

 

Morocco protesters demand gov't action on cost of living

Inflation slows in April to 7.8%, 10.1% in February, 8.2 % in March

By - Jun 05,2023 - Last updated at Jun 05,2023

Members of Morocco's Democratic Confederation of Labour trade union attend a demonstration in Casablanca on Sunday, to denounce the deterioration of the social and economic situation in the country (AFP photo)

CASABLANCA — Hundreds demonstrated Sunday in Morocco's economic capital Casablanca to protest against the surging cost of living in the North African country and urge action by the government, AFP correspondents said.

Protesters from the Democratic Labour Confederation (CDT) rallied in Casablanca's historic centre "to shout out our discontent with price hikes and with attacks on purchasing power", protester Abdellah Lagbouri told AFP.

Lagbouri came to the rally from Agadir, a city further south on the Atlantic coast. Other demonstrators also travelled from across the country to Casablanca for the protest.

AFP correspondents saw scuffles between security forces and protesters, but said the rally ended without major incident.

"It's shameful, workers' livelihoods are in danger," demonstrators shouted.

CDT official Tarik Alaoui El Housseini said the organisation had initially planned a march on Casablanca, but objections from local authorities made them opt for a rally instead.

Morocco has seen months of rising prices, particularly of food, fuel and other basic staples, in part due to recurrent drought that has affected the agriculture sector.

Year-on-year inflation slowed in April to 7.8 per cent, after 10.1 per cent in February and 8.2 per cent in March, according to official figures.

Nadia Soubat, another CDT official, said the group denounced "the government's inaction in applying the social accord achieved last year".

The agreement signed in April 2022 between the Moroccan government and major labour unions stipulated a rise in minimum wages in both the public and private sectors.

Government spokesman Mustapha Baitas said recently that "the government honoured a large part of its commitments despite the difficult circumstances".

 

Middle East carriers on track for full recovery by 2024: IATA’s Kamil Al-Awadhi

By - Jun 05,2023 - Last updated at Jun 05,2023

AMMAN- Middle East carriers are marching steadily towards full recovery, with expectations to bounce back to 2019 levels by the year 2024, according to the International Air Transport Association (IATA).

Notably, the Revenue Passenger-Kilometres (RPKs) stand at 88% of the 2019 figures, showing significant progress in the sector's rebound, IATA regional Vice President for the Middle East, Kamil Al-Awadhi, said at IATA’s annual meeting.

Despite the global turbulence in air travel due to the pandemic, recovery remains on track. Industry-wide RPKs are currently within 10% of 2019 levels, marking a significant comeback, he said.

He has projected a promising forecast for the Middle East aviation industry.

He indicated that air passenger numbers in the region are expected to double by 2040, reaching an impressive 550 million.

The Gulf Cooperation Council (GCC) carriers will be at the forefront of this growth. These carriers, particularly those based in energy-rich GCC countries, are progressively turning their focus towards sustainable aviation fuel (SAF) in a bid to align with global environmental concerns. However, Al-Awadhi admitted that the current SAF supply in the market falls short of meeting the growing needs of airlines.

"Airlines cannot do much about it; they don’t produce SAF," Al-Awadhi noted. Nevertheless, oil-producing countries are making considerable strides in investing in SAF, paving the way for a more sustainable future for aviation.

The Middle East area, in particular, is witnessing a surge in SAF investments, signifying a positive shift towards environmental sustainability in the region's aviation sector. This sustainable outlook, coupled with the recovery trend, underscores a promising future for Middle East carriers in the post-pandemic world.

 

 

Blocked funds rise sharply, threatening airline connectivity- IATA

By - Jun 05,2023 - Last updated at Jun 05,2023

AMMAN- The International Air Transport Association (IATA) has issued a warning regarding the surging amounts of blocked funds, which it sees as endangering airline connectivity in implicated markets.

As of April 2023, blocked funds in the industry have risen by 47% to $2.27 billion, a stark increase from $1.55 billion the previous year.

"Airlines are in a tough spot; they can't keep servicing markets where they can't repatriate revenues from their commercial activities. We urge governments to collaborate with the industry and find a solution, as airlines play a crucial role in stimulating economic activity and job generation," stated Willie Walsh, Director General of IATA.

A significant chunk of blocked funds - 68.0% - comes from five countries: Nigeria ($812.2 million), Bangladesh ($214.1 million), Algeria ($196.3 million), Pakistan ($188.2 million), and Lebanon ($141.2 million).

IATA called on governments to respect international treaties and allow airlines to repatriate funds generated from ticket sales, cargo space, and other activities.

Speaking at IATA's annual general meeting, Kamil Alawadhi, IATA’s Vice President for Africa and the Middle East, voiced concern over the growing trend of African countries withholding funds from airlines.

About 80% of the withheld funds - the repayments for tickets purchased in local currencies but held back due to foreign currency unavailability - originate from the Middle East and Africa.

"Every cent matters in the airline industry. By not meeting their financial obligations, these governments are squeezing the industry even further," noted Alawadhi.

The consequences of this action are severe for the governments as well, leading to reduced connectivity, inflated ticket prices, wavering confidence from foreign investors, and the potential collapse of domestic travel agencies, Alawadhi explained.

He emphasised the necessity of swift repatriation of funds to maintain airline operations and encourage investment.

Biden hails averting 'catastrophic' default in Oval Office speech

Deal resolving standoff between Democrats, Republicans was compromise — Biden

By - Jun 04,2023 - Last updated at Jun 04,2023

US President Joe Biden addresses the nation on averting default and the Bipartisan Budget Agreement, in the Oval Office of the White House in Washington, DC, on Friday (AFP photo)

WASHINGTON — US President Joe Biden told Americans on Friday in a rare Oval Office address that the debt ceiling bill passed by Congress after weeks of wrangling saved the country from "economic collapse".

Speaking from behind the historic Resolute Desk on live primetime television, Biden said that the deal resolving the stand-off between Democrats and Republicans was a compromise where "no one got everything they wanted".

"We averted an economic crisis and an economic collapse," he said, adding that "the stakes could not have been higher".

Biden said he will sign the bill, which authorises the government to extend the so-called debt ceiling and renew borrowing, into law on Saturday.

The US Treasury Department had warned that if the debt ceiling was blocked beyond Monday, the country could default on its $31 trillion debt. A default would have likely triggered market panic, huge job losses and a recession, with global implications.

"Nothing would have been more catastrophic," Biden said.

Oval Office addresses have always been reserved by presidents for moments of unique national danger or importance.

Biden used the occasion to project a reassuring, calm tone. Sprinkling his speech with chuckles and smiles, he praised his opponents for negotiating in good faith and promised Americans that he had never felt more optimistic.

Biden said that Congress has now preserved "the full faith and credit of the United States".

But even with the House and Senate putting aside differences to finally rush through an agreement over the last week, the US economy's reputation took a hit.

Ratings agency Fitch said on Friday that it is keeping the United States' 

"AAA" credit rating on negative watch, despite the deal.

 

Campaign boost? 

 

The debt ceiling is usually an uncontroversial accounting maneuver approved yearly by Congress. It allows the government to keep borrowing money to pay for bills already incurred.

This year, hard-right Republicans dominating their party's narrow majority in the House of Representatives, decided to use the must-pass vote as leverage for forcing Biden into accepting cuts to many Democratic spending priorities.

This triggered a test of political strength that threatened to end in chaos before the two sides agreed this week on raising the debt ceiling while freezing some budgetary spending in return — yet stopping well short of Republican demands for cuts.

Kevin McCarthy, the speaker of the Republican-led House, had touted the compromise bill as a big victory for conservatives, although he faced a backlash from hardliners on the right who said he made too many concessions.

But Biden, who is campaigning for reelection in 2024, sees the dramatic resolution to the crisis as a win, showcasing his negotiating powers and his pitch to be the moderate voice in an increasingly extreme political landscape.

He burnished those credentials in the speech by going out of his way to praise McCarthy, a politician long loyal to former president Donald Trump — the man Biden defeated in 2020 and who is seeking his own return in 2024.

"I want to commend Speaker McCarthy. You know, he and I, we and our teams, were able to get along, get things done," Biden said, calling the Republican negotiators "completely honest and respectful of one another".

 

Saied says Tunisia could bypass IMF by taxing the rich

IMF calls for legislation to restructure more than 100 state-owned firms

By - Jun 04,2023 - Last updated at Jun 04,2023

TUNIS — Tunisia's President Kais Saied on Thursday proposed taxing the North African country's wealthiest citizens as a way of avoiding what he has called the "diktats" of the International Monetary Fund (IMF).

Despite reaching an agreement in principle last October on a bailout package worth nearly $2 billion, talks with the IMF have stalled for months over demands to restructure public bodies and lift subsidies on basic goods.

Saied said during a meeting with Prime Minister Najla Bouden that the current subsidy system benefits all Tunisians, including the wealthy, a presidency statement said.

He floated the idea of "taking surplus money from the rich to give to the poor", citing a quote attributed to Omar Ibn Al Khattab, one of Islam's first caliphs.

"Instead of lifting subsidies in the name of rationalisation, it would be possible to introduce additional taxes on those who benefit from them without needing them," Saied added.

He said he believed such a mechanism would mean the country would not have to bow down to "foreign diktats".

Saied did not say how such a plan might operate as employees' taxes are deducted at source and many Tunisians in the private sector do not declare their full income.

The IMF has called for legislation to restructure more than 100 state-owned firms, which hold monopolies over many parts of the economy and in many cases are heavily indebted.

The country is going through a financial crisis marked by chronic shortages of basic food products.

Political tensions are also running high since Saied launched a sweeping power grab in July 2021, rocking the democracy in the birthplace of the Arab Spring revolts over 10 years previously. 

 

Pages

Pages



Newsletter

Get top stories and blog posts emailed to you each day.

PDF