Kenya’s parliament to nationalise Kenya Airways
Kenya’s parliament voted Tuesday to nationalise Kenya Airways to save it from mounting debts. The loss-making airline, which is 48.9% govt-owned and 7.8% held by Air France-KLM, has been struggling to return to profitability and growth. A failed expansion drive and a slump in air travel forced it to restructure US$2b of debt in 2017. The airline later proposed taking over the running of Nairobi’s main airport to boost its revenue. Parliament’s transport committee, however, rejected that plan, recommending instead the nationalisation of the airline in a report debated by the national assembly June 18. Kenya Airways chairman Michael Joseph said the vote was “great news.” “Nationalisation is what is necessary to compete on a level playing field,” he said. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2019-07-25/sky/kenya2019s-parliament-to-nationalise-kenya-airways
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Kenya’s parliament to nationalise Kenya Airways
Kenya’s parliament voted Tuesday to nationalise Kenya Airways to save it from mounting debts. The loss-making airline, which is 48.9% govt-owned and 7.8% held by Air France-KLM, has been struggling to return to profitability and growth. A failed expansion drive and a slump in air travel forced it to restructure US$2b of debt in 2017. The airline later proposed taking over the running of Nairobi’s main airport to boost its revenue. Parliament’s transport committee, however, rejected that plan, recommending instead the nationalisation of the airline in a report debated by the national assembly June 18. Kenya Airways chairman Michael Joseph said the vote was “great news.” “Nationalisation is what is necessary to compete on a level playing field,” he said. <br/>
