Kenya Airways announces halting of passenger flights to Mogadishu
By Lucy Mumbi |
CEO Allan Kilavuka said the decision was reached after careful analysis, taking into account the prevailing business environment.
Kenya Airways (KQ) has announced the suspension of its passenger flights to the Somali capital Mogadishu, effective October 14, 2024, due to operational challenges.
In a statement, the airline's CEO, Allan Kilavuka explained that the decision was reached after careful analysis, taking into account the prevailing business environment.
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"This decision was made after careful analysis and consideration in the best interest of the airline in the prevailing business environment," Kilavuka said.
He expressed gratitude to the Kenyan embassy in Mogadishu and government officials for their continued support as the airline works towards expanding its network and providing reliable air travel services.
Kilavuka also acknowledged that the suspension may affect the positive developments achieved so far.
"We request your understanding of this unforeseen development that may reverse the positive trend and gains made so far. We look forward to your understanding and consideration," he said.
On Tuesday, Kilavuka disclosed that various government agencies including Parliament, the Ministry of Foreign Affairs, and the Kenya Revenue Authority (KRA), owe the airline Sh3.54 billion.
Speaking before the Senate Committee on Roads, Transportation, and Public Works, Kilavuka noted that KRA is yet to refund Sh2.7 billion in value added tax (VAT) to the national carrier, as of August 2024.
He also said there are unpaid air ticket bills amounting to Sh294 million from the Ministry of Foreign Affairs, while the National Assembly has an outstanding debt of Sh242 million.
Kilavuka further disclosed that other government entities owe significant amounts, including the Parliamentary Service Commission, which has not paid Sh191 million, the Parliamentary Joint Services with a debt of Sh30 million, and the Directorate of Immigration Services, which owes Sh32 million.
He emphasised the need for government support in recovering Sh840 million from these agencies, urging for assistance in collecting the overdue payments.
Kenya Airways is seeking help from the government to repatriate Sh1.4 billion that remains trapped in countries such as Nigeria, Malawi, Ethiopia, and Burundi.
Kilavuka said these funds have been trapped due to foreign exchange controls and other restrictions in these nations.
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