The airline was first taken off the stock exchange in 2020 following the government's plans to take full ownership of the carrier as the Covid-19 pandemic decimated the global aviation industry. But the shares will stay off the market pending a restructuring which the government now hopes will lead to a sale to private investors.
"The extension of suspension seeks to enable the company [to] complete its operational and corporate restructure process," the
The government started a restructuring process to get the carrier out of its dire financial straits ahead of a potential sale of the airline. In 2022, 16 routes were cut and aircraft lease deals have been renegotiated.
The airline, led by CEO
Privatisation plans
Since taking office in
Last month, Ruto said the government was ready to sell its entire stake in the airline as it was no longer willing to support the company.
"I'm willing to sell the whole of
According to Africa Intelligence, Ruto recently formed a team aimed at meeting investors who are interested in taking over the government's stake.
"The government is looking for partnerships that will make
"I'm not in the business of running an airline that just has a Kenyan flag, that's not my business," he said.
Although the company was the fifth busiest African airline in 2021, with almost 1.5m passengers carried throughout the year, revenues over the first six months of 2022 were just 20% of the corresponding pre-pandemic 2019 level.
The restructuring of the airline is part of a fiscal consolidation plan agreed with the
"Addressing vulnerabilities at
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