Kenya’s national carrier, Kenya Airways (KQ), has announced plans to raise $500 million (KSh 65.5 billion) in fresh capital by early 2026 to revamp its fleet and restore profitability.
The announcement comes after the airline reported a KSh 12.17 billion ($94 million) pretax loss in the first half of 2025, a steep fall from the KSh 634 million profit recorded during the same period in 2024.
CEO Allan Kilavuka confirmed that the capital raise will involve shareholder approval and partnerships with strategic investors. The funds will be directed towards acquiring new aircraft, refurbishing grounded planes, and enhancing operational efficiency.
“This capital injection is critical for modernizing our fleet, restoring passenger confidence, and positioning KQ for long-term recovery,” Kilavuka said.
The airline’s struggles have been linked to the temporary grounding of three Boeing 787 Dreamliners, rising global fuel costs, and stiff competition from regional carriers.
Despite these challenges, Kenya Airways recorded a profit in 2024 driven by foreign exchange gains. Analysts say the planned investment could provide the airline with a lifeline, particularly as global travel rebounds post-pandemic.
The government, which injected $150 million earlier in 2025 to keep the airline afloat, is expected to support the restructuring strategy.
For travelers, the move signals potential improvements in route expansion, customer service, and reliability. For Kenya, it underscores the importance of revitalizing its national carrier as a symbol of pride and connectivity.
