This archive report was first published on 12 May 2020.
Published on May 12, 2020, Kenya Airways (KQ) has sent a request to the Treasury for Ksh7 billion in emergency funding to address its financial woes.
The airline cited a tough business environment and falling revenues as the reasons behind its request, which includes the maintenance of grounded planes, payment of staff salaries, and settlement of utility bills.
According to the International Civil Aviation Organization (ICAO), airlines may face 1.5 billion fewer international air travelers this year, resulting in a 273 billion dollar loss.
Kenya Airways has been facing mounting woes, including a suspension of its Nairobi-Guangzhou route, which resulted in an $8 million loss of revenue.
As part of its efforts to stay afloat, KQ has resorted to cargo business, which raked in KSh214 million in revenues in April.
The airline is also seeking tax breaks and navigation and landing fees waivers, in addition to the emergency funding.
