IATA Reports $1.2 Billion In Airline Revenues Trapped Worldwide

The International Air Transport Association (IATA) has announced that governments around the world are withholding $1.2 billion in airline funds as of late October 2025. This represents a slight decrease from the $1.3 billion reported earlier in the year, but the vast majority of these funds—roughly 93%—remain trapped in Africa and the Middle East.

Blocked funds are revenues earned by airlines from ticket and cargo sales that cannot be sent back to their home countries. This usually happens when governments impose strict currency controls or face severe shortages of US dollars. Without this money, airlines struggle to pay for fuel, aircraft leases, and international salaries, which are almost always priced in dollars.

IATA Director General Willie Walsh warned that these restrictions are a violation of international treaties. He noted that when airlines cannot access their money, they are often forced to reduce flights or pull out of markets entirely. This reduction in connectivity can damage a country’s economy by slowing down trade and tourism.

Ten countries are currently responsible for 89% of the total backlog. For the first time, Algeria has topped the list with $307 million in blocked funds, largely due to new and complex approval requirements from its Ministry of Trade. Other countries with significant amounts include Lebanon at $138 million and Mozambique at $91 million.

In a positive development for West Africa, Nigeria has remained off the list of major debtors. After settling nearly all of its outstanding $850 million debt in late 2024, the Nigerian government has maintained a “clean slate,” helping to stabilize flight frequencies and airfares in the region.

IATA is now urging the remaining governments to prioritize aviation in their foreign exchange allocations. The association argues that the long-term economic benefits of staying connected to the world far outweigh the short-term relief provided by withholding these funds.