By SAMWEL OWINOMore by this AuthorParliament has warned that the planned takeover of Jomo Kenyatta International Airport (JKIA) by Kenya Airways (KQ) will deprive the Kenya Airports Authority (KAA) of significant resources as the concession fee will not cover the operational costs of the country’s remaining airports. "In comparison, KAA’s non-JKIA operations in the 2019 financial year amounts to Sh6.6 billion, leaving a shortfall of Sh3.7 billion from the concession fee,” says the report. “Kenya Airways’ proposal further assumes that KAA will retain all contingent liabilities, including those arising from JKIA operations, a situation that would leave KAA worse off financially,” it adds. Documents tabled before the committee indicate that KAA was given a mid-December 2018 timeline to complete the transaction. PIC has now written to Auditor-General Edward Ouko to conduct a special audit of the privately initiated investment proposal (PIIP) by Kenya Airways.

Source: Daily Nation February 27, 2019 21:11 UTC