Kenya Airways’ bookings climb, providing temporary relief from $2.4 billion liabilities

Kenya Airways may have a rare chance to ease its financial strain, as rising passenger demand pushes seat occupancy near full capacity, even while the airline carries a heavy debt load. Its liabilities stood at Ksh309.9 billion ($2.4 billion) as of June 2025.

The carrier said Monday, March 23, that bookings have climbed sharply in recent weeks, helped in part by disruptions tied to the ongoing conflict in the Middle East. The war has unsettled global aviation, forcing some airlines to adjust schedules, avoid certain routes or raise fares, creating room for others to capture redirected traffic.

Kenya Airways seats almost fully booked

For Kenya Airways, the shift is already visible in its numbers. Seat occupancy—known in the industry as load factor—has risen to nearly full capacity, from about 70 percent in January. Acting CEO George Kamal said the improvement gathered pace through February, with flights now running at between 90 percent and 99 percent capacity.

He said much of the increase is coming from long-haul routes linking Nairobi to Europe, the U.S., and parts of Asia. “Those routes are contributing positively to our network,” Kamal told reporters, pointing to stronger demand from international travelers adjusting their plans. 

The airline is also moving to secure its operations as demand rises. It currently has about 56 days of jet fuel supply and is working to source additional volumes from India, according to Paul Njoroge, head of flight operations.

Rising demand offers temporary relief

The rebound in bookings comes at a critical time. Kenya Airways is in talks to bring in a strategic investor, with Kenya’s National Treasury preparing an international expression of interest. Officials are seeking between Ksh154.8 billion ($1.2 billion) and Ksh258 billion ($2 billion) to stabilize the airline, in which the state owns a 48.9 percent stake.

The urgency is clear from its balance sheet. As of June 2025, the airline reported liabilities of Ksh309.9 billion ($2.4 billion), compared with assets of Ksh180.3 billion ($1.4 billion), leaving it with negative equity of Ksh129.5 billion ($1 billion). For the six months under review, it posted a loss of Ksh12.15 billion ($94.2 million).

Officials are exploring bundling assets and converting Ksh63.1 billion ($490 million) from the Tsavo facility into equity. The airline is also seeking at least $500 million in fresh capital to expand its fleet, a move executives say is essential for adding routes and strengthening its position in a competitive market. While rising demand offers some short-term relief, a lasting turnaround will depend on securing funding and maintaining the current pace of bookings.