Kenya Airways Fuel Costs Rise 72% as Middle East Conflict Hits Operations

Kenya Airways fuel costs rise 72% as Middle East conflict hits operationsKenya Airways says its fuel costs surged by 72% in the first half of 2026 as the ongoing conflict in the Middle East pushed up fuel prices and disrupted the supply of aircraft spare parts and maintenance services.

The airline’s acting CEO, George Kamal, said on Wednesday that the conflict had significantly increased operating costs, with fuel now accounting for up to 50% of the carrier’s total costs.

Kamal told journalists in Nairobi that the airline was also dealing with delays in spare-parts deliveries, reduced aircraft availability and rising global inflation, warning that the challenges could affect the company’s revenue.Kenya Airways, one of Africa’s largest airlines, is expected to release its 2026 half-year financial results early next week.

The carrier is under pressure to contain costs as it seeks to maintain operations amid rising fuel expenses and shortages of aircraft parts. Kamal said the global backlog in aircraft supplies was affecting airlines around the world, but Kenya Airways was particularly vulnerable because of its relatively small fleet of about 40 aircraft.

“We have demand, every route we deploy … it’s full so we need the aircraft as soon as possible,” Kamal said, according to Reuters.

The airline is awaiting delivery of two Boeing 737 aircraft. Two other aircraft scheduled for delivery in April were rejected after failing inspection tests, according to Kamal.

The aircraft shortages are limiting Kenya Airways’ ability to take full advantage of strong passenger demand. Earlier in the year, the airline reported that demand had increased significantly as the Middle East conflict disrupted other aviation hubs, with passengers from Europe, the United States and Asia increasingly using Nairobi as a transit point.

The conflict has therefore created a mixed situation for the Kenyan carrier. While higher fuel prices and supply-chain disruptions have increased costs, the disruption to Middle Eastern aviation routes has also redirected some passengers and cargo through Nairobi.

Kamal said Kenya Airways was now reviewing its spending and contracts in an effort to protect its margins.“We are reviewing every single contract at KQ and finding how to save every dollar,” he said, noting that the airline’s profit per seat was only about $1.50.The cost pressures come as Kenya Airways continues efforts to improve its financial performance.

Last year, the airline reported a pre-tax loss of 17.93 billion Kenyan shillings, equivalent to about $138.6 million, after recording a rare profit in the previous period.

The airline’s upcoming half-year results are expected to provide a clearer picture of how higher fuel prices, strong demand and aircraft supply constraints have affected its financial performance during the first six months of 2026.

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