top of page
  • Chidozie Uzoezie

Restructuring: Kenya Airways Receives Government’s Support

Kenya Airways has received the Government of Kenya’s support to the restructuring efforts and that the Cabinet had approved the terms of this support, which will be submitted to the National Assembly for approval by Treasury Cabinet Secretary Henry Rotich.

The support confirmed by the Cabinet included conversion of the Government of Kenya loans into equity, and provision of contingent guarantees subject to parliamentary approval in exchange for material concessions to be provided as part of the financial restructuring, which would secure future funding of the company and would more importantly NOT require Government to provide CASH as part of the restructuring.

The Cabinet took note of the strategic importance of KQ to the economy, and the efforts so far made in the restructuring of KQ and that these efforts are delivering positive results on the operational side of the business as reflected in the company’s full year results for FY2016/17.

The Cabinet also noted that to achieve the required turnaround, the company also requires a financial restructuring to reduce the overall debt burden on the Balance Sheet and to extend the repayment period for its debt.

This would stabilize the company and allow it to meet its obligations and facilitate long term growth. By so doing, it would also position the company to continue playing its crucial role in the economy.

A4-print-explore the world with ethiopian-R-1022-compressed.jpg
450 x 450.png

 Featured Posts 

Comments (25)

Sep 21, 2022

We just booked our QATAR 🇶🇦 HÔTEL yesterday for 2 différent short stars of 2 nights and 3 nights for the Final… . Not exactly cheap but ok price for 4.5 Stars luxury and in Doha Center City! Thanks and Good Luck everyone! Vamos MEXICO!


Sep 30, 2022

Wow! Stunning! Hilton seems to be taking Africa by storm. Just a couple of years back, they opened the first ever in Eswatini.


Oct 24, 2022

Wonderful event and topics discussed, hopefully we see the manifestations in our African airline businesses in the nearest future. Kudos to you all.


Nov 10, 2022

Hi, I'm Lucy. Please how do I embark on my travel/ tour business. I am newbie and help..