NAIROBI, Kenya April 7-National carrier, Kenya Airways(KQ) will be expected to trim its network and rationalize its flight frequencies as the government moves in to revive it from losses, Treasury CS Ukur Yatani has said.
The carrier will also be tasked to operate a smaller fleet, and rationalize its staff complement.
Yatani while presenting the 2022/23 budget said the airline is facing severe cash-flow constraints following global lockdowns triggered by the Covid-19 pandemic
“The Government as a major shareholder is supporting the restructuring of Kenya Airways to adapt to the challenges facing the aviation industry due to the adverse impact of Covid-19 pandemic,” said Yatani.
KQ has been on a loss-making streak since 2013, reporting its last profit in 2012 when it closed with net earnings at Sh1.66 billion.
The carrier in 2021 narrowed its net loss by 56.58 percent on higher revenue as travel picked up with the easing of Covid-19 restrictions.
The national carrier reported a net loss of Sh15.8 billion in the review period compared to a net loss of Sh36.2 billion the year before when travel restrictions hit operations hardest, including the grounding of its planes for months.
