Kenya Airways deals with other airlines to be reviewed, CS Henry Rotich says


The government will review agreements between Kenya Airways and other airlines, National treasury Henry Rotich has said.

Speaking on an evening show on Citizen TV, Mr Rotich said some of the deals were not favourable to KQ.

He said competition from low cost airlines has given KQ a run for its money.

Last week, Kenya Airways announced Sh25.7 billion and it now requires about Sh100billion bail out.

The loss has been blamed on poor management decisions, operational inefficiencies and failure to counter competition.

Businessman Chris Kirubi lamented that the airline lacks experienced personnel and depends on KLM to run its commercial affairs.

He said claimed KQ’s deal with KLM was not working for national carrier and should be reviewed.

“We should have the right management, right policies and the right workforce to save KQ and have in that board people who understand business not people who just read book,” said Mr Kirubi.

He added that the government ensure the open sky policy works to KQ’s advantage noting that the country should “get what it gives to other airlines.”

While criticising the purchase of planes, Mr Kirubi said: “You cannot spend what you do not have or what you cannot project to make,” said the businessman.

According to Mr Rotich, the final figures and the form of recapitalisation to save the airline would depend on a turnaround plan being prepared by McKinsey and Seabury consultants.

ODM party has demanded action against those who brought down the airline and further alleged that it is a strategy to acquire it by corrupt individuals in the country.