Connect with us

Hi, what are you looking for?

Capital Business
Capital Business
Qatar airways said it has enhanced COVID-19 safety measures for onboard passengers. /FILE.

Kenya

Qatar Airways bids to acquire RwandaAir stake

“The attraction of Kigali is its location, the stability of the country and the very favourable business environment that exists in that country,” Baker said/COURTESY

DOHA, Qatar, Feb 5 – Qatar Airways is negotiating to acquire 49 percent of RwandaAir, the national carrier of the central African nation, to cater for growing demand in Africa, its chief said Wednesday.

“It is a 49 percent stake that we are negotiating for in RwandaAir,” the CEO of Qatar Airways, Baker al-Baker, told a press conference on the sidelines of an international aviation conference in Doha.

“The attraction of Kigali is its location, the stability of the country and the very favourable business environment that exists in that country,” Baker said.

With a small fleet of 12 aircraft, including two Airbus A330 and six Boeing 737, RwandaAir flies to 27 destinations across Africa, Asia, Europe and the Middle East.

“In Africa, there is big demand for air travel and today Africa is very poorly connected so we always look at opportunities in our field for investment,” Baker said.

Qatar’s sovereign wealth fund is financing the expansion of Kigali Airport to raise its capacity to 10 million passengers a year, the Qatari official said.

One of the world’s fastest growing airlines, Qatar Airways has a fleet of 250 modern aircraft and flies to 160 destinations.

The state-owned airline has been hit by an embargo slapped on Qatar since June 2017 by neighbouring Gulf countries.

In the fiscal year to March 2019, it posted a loss of $639 million, in addition to a loss of $69 million the previous year.

Despite the embargo, Qatar Airways has been trying to expand its foothold internationally.

Advertisement. Scroll to continue reading.

In January last year, it acquired a five-percent stake in China Southern Airlines, one of the Asian giant’s three big carriers.

Qatar Airways also owns a 20-percent stake in International Airlines Group, which holds British Airways under its umbrella, as well as shares in LATAM Airlines Group, Italy’s Meridiana and Hong Kong-based Cathay Pacific.

Baker also said Qatar Airways was still interested in investing in IndiGo, India’s largest budget airline.

Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...