Zim Trims Airline Debt by 1.5%, Stays a Top Offender

By ETimes

HARARE – ZIMBABWE has reduced the funds it owes to international airlines by US$1 million, from US$68 million at the end of April 2025 to US$67 million by the end of October 2025.

However, it remains among the ten countries responsible for 89% of blocked funds globally, amounting to US$1.08 billion, according to the International Air Transport Association (IATA).

Meanwhile, IATA reports that governments continue to block US$1.2 billion in airline revenues as of October 2025, a reduction of only US$100 million since April.

The vast majority 93% of these trapped funds are held in Africa and the Middle East.

Source: IATA

IATA has urged governments to eliminate all barriers to currency repatriation, ensuring airlines can access their US dollar revenues as guaranteed by international agreements.

These barriers include complex bureaucratic procedures, approval delays, and foreign exchange shortages imposed by national authorities.

“Airlines need reliable access to their revenues in US dollars to keep operations running, pay their bills, and maintain vital air connectivity. Governments have committed to unfettered repatriation of funds in bilateral agreements.

“With low margins and significant dollar denominated costs, airlines depend on governments fulfilling that commitment. It is also in the interest of governments to foster the economic catalyst that airlines provide by connecting their economies globally.

“That is why we urge governments to facilitate the efficient repatriation of airline funds and prioritize this in foreign exchange allocations, even when currency is in short supply,” said Willie Walsh, IATA’s director general.