John AdoyiKenya Airways may encounter financial losses as Tanzania announces the suspension of flights between Nairobi and the capital, Dar es Salaam.
The suspension was in response to Kenya government’s rejection of Tanzania’s request to permit its national carrier, Air Tanzania Company Limited (ATCL), to operate cargo flights to third countries from Nairobi.
The Tanzanian Civil Aviation Authority (TCAA) pointedly referred to the violation of Section 4 of the 2016 Memorandum of Understanding (MoU) on Air Services, which mandates reciprocal treatment for airlines from both East-African countries.
In a public notice released on Monday, TCAA Director General Hamza S. Johari stated, “Tanzania Civil Aviation Authority, on behalf of the aeronautical authorities of the United Republic of Tanzania has decided to rescind the approvals for Kenya Airways (KQ) to operate passenger flights between Nairobi and Dar es Salaam under Third and Forth Freedom Traffic Rights with effect from 22 January 2024.
“This decision is based on the principle of reciprocity, following the refusal by the Kenyan authorities to grant approval for ATCL’s cargo flights despite the clear provisions of the MoU,” Johari stated.
Johari also reiterated that despite the clash between the countries, Tanzania will strive to adhere to international aviation regulations.
“The United Republic of Tanzania shall always strive to adhere to the principles of Chicago Convention 1944 and Bilateral Air Services Agreement between States,” he added.
For Kenya Airways, which is the biggest airline partner of the tourism market in East Africa and operates a significant 33 flights weekly between Nairobi and Dar es Salaam, this suspension translates into a grim market outlook for the airline whose revenue grew by 56 percent to KSH75 Billion (474 Million Dollars) in 2023 due to increase in patronage.
The airline is set to lose substantial revenue from the Tanzanian market and faces the prospect of disrupting travel plans for thousands of passengers who rely on its regular services connecting the two East African nations.
The potential losses for Kenya Airways is set to be huge, considering the scale of operations and passenger volumes involved as an average flight ticket cost 313 dollars between both countries.
This is not the first time the airline has been caught in the middle of a diplomatic clash. In August 2020, Tanzania suspended Kenya airways flights for a brief period after Kenya excluded Tanzanians from a list of countries whose citizens could enter without Covid-19 quarantine restrictions.
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