Uganda Airlines CEO vows turnaround amid rising losses

Kampala, August 2025 – Uganda Airlines continues to face financial turbulence, with its CEO, Jennifer Bamuturaki, admitting that the airline’s ongoing losses keep her and her management team awake at night. Since its launch in 2019, the national carrier aimed to break even within three years—a target considered ambitious by industry analysts.

The airline’s losses increased steadily, peaking at Shs 237.8 billion in 2024, a 26 percent reduction from previous years, according to the Office of the Auditor General. Bamuturaki remains cautiously optimistic that this downward trend will continue as the airline implements cost-saving and revenue-boosting strategies.

High operational costs, particularly fuel and spare parts, are cited as the main contributors to losses—a challenge faced globally by airlines. Bamuturaki emphasizes that safety and compliance are non-negotiable priorities. She notes that public perception of safety directly affects passenger confidence. “When the story of spare parts was blown out of context, many were worried—are they safe? Do they have spare parts?” she said.

To improve efficiency and cut costs, Uganda Airlines plans to establish an Approved Maintenance Organisation (AMO), which will reduce the need to ferry planes and engineers to external maintenance sites. The AMO could also service aircraft from other airlines, generating additional revenue. Within two years, the airline aims to construct a hangar capable of accommodating its Airbus fleet, as the current facility can only handle smaller aircraft such as the CRJ.

Cargo operations have become a key revenue stream. The Airbus currently transports perishables to Dubai, Mumbai, and London, with flights to London operating at full capacity. Demand is so high that cargo space is booked up to a year in advance. At full capacity, the Airbus carries 25 tonnes of cargo alongside approximately 10 tonnes of passenger luggage, providing stable cash flow amid passenger load challenges.

Despite these operational gains, Bamuturaki acknowledges the challenge of negative public perception. “It is absurd that Ugandans… we kill our own! Uganda Airlines employs 500 Ugandans, yet social media negativity undermines our achievements,” she said.

Looking ahead, Uganda Airlines plans to commence domestic flights within three to six years, using Bombardier aircraft to serve tourist and commercial aerodromes such as Kasese, Kisoro, Kidepo, Arua, and Gulu. Short runways and limited demand currently constrain domestic operations, but infrastructure upgrades are underway.

The airline’s newly inaugurated board of directors will play a critical role in implementing the 10-year Corporate Strategy, expanding the fleet and routes, reducing losses, and strengthening human resources. The board includes Chairperson Priscilla Mirembe Sseruka, Barbara Namugambe, Herbert Kamuntu, Samson Rwabwire, Abdul Karim Omoding, Patrick Ocailap, and newly appointed Constant Othieno Mayende.

Bamuturaki remains focused on making Uganda Airlines self-sustaining, saying: “When Uganda Airlines flies, Uganda is flying. My goal is for this airline to fund itself, bring down costs, and secure a future for the next generation, whether it’s under my leadership or those who come after me.”