Kenya Airways exploring viability of air taxis to diversify revenues

National carrier, Kenya Airways, is exploring the viability of air taxis as a means of diversifying its revenues. This disclosure was made during the release of the airline's half-year results which should that it secured a revenue growth of 77.6 per cent. "The industry is experiencing recovery, Our focus is to ensure that we strengthen out operational resilience though innovation and diversification to deliver great and reliable services to our customers," Kenya Airways CEO Allan Kilavuka said. However, the costs of running the airline escalated beyond the projects leading to a loss of Sh9.9 billion a better performance than half one of 2021 when it recorded a Sh11.52 billion loss. Chairman Michael Joseph attributed the high cost to a surge in fuel costs and foreign exchange pressures. The airline also reported US$ 1.6 billion in blocked funds globally, US$ 1.0 billion of which is attributable to Africa. Kilavuka cited challenges in repatriating funds from markets like Nigeria and Ethiopia. The airline also did not have any open fuel hedge positions. The airline says that during the first half of 2022, operations were positively impacted by pent-up demand and the removal of travel restrictions, resulting in a strong and sustained recovery in trading performance compared to a similar period in the prior year. Kenya Airways uplifted a total of 1.61 million passengers during the period, an 85 per cent improvement compared to the prior year's 0.87 million passengers.
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