Travel Agents Accuse IATA of Undermining National Economic Autonomy

Kenya, January 14, 2026 - Global travel agents’ bodies have accused the International Air Transport Association (IATA) and its member airlines of overstepping into national economic territory following a decision to impose globally standardised remittance periods under the Billing and Settlement Plan (BSP).

The United Federation of Travel Agents’ Associations (UFTAA) and the World Travel Agents Associations Alliance (WTAAA) say the move undermines national economic sovereignty by dismantling locally governed credit and remittance arrangements that have long reflected domestic banking systems, payment cultures, and commercial practices.

The objections follow a recently concluded mail vote by IATA member airlines adopting amendments to Resolution 812, Section 6.5.3.7, which mandate uniform BSP remittance timelines across all markets. The change replaces country-specific payment frameworks, previously developed through joint local governance, with a centralised global standard determined exclusively by airlines.

UFTAA has framed the decision as a direct intervention in national economies, arguing that credit terms are a core element of economic policy and should not be dictated through a private international association. In a statement, the federation said imposing uniform conditions across diverse markets overrides established local financial systems without regulatory mandate, economic justification, or democratic legitimacy.

“There is no evidence-based rationale for a one-size-fits-all approach,” UFTAA said, adding that there is no precedent in other global industries where suppliers collectively impose credit terms on intermediaries across all markets through a private governance structure.

National associations have begun voicing concern over the implications for domestic markets. In Kenya, the Kenya Association of Travel Agents (KATA) warned that the decision disregards local market realities and risks destabilising a system that has functioned effectively for years. KATA said Kenya’s BSP remittance framework has historically balanced airline settlement security with the financial sustainability of travel agencies operating within the country’s economic environment.