By Jamillah Kemigisa
The financial turbulence surrounding Uganda Airlines has intensified after former staff responsible for the carrier’s Bombardier CRJ-900 fleet appeared before the Committee on Statutory Authorities and State Enterprises (COSASE) to answer for the airline’s staggering Shs 237 billion loss in the 2023/24 financial year.
At the center of the inquiry is the Bombardier fleet, long criticized as outdated, fuel-inefficient, and expensive to maintain. Lawmakers pressed the ex-staff to explain why the airline continued to rely on aircraft with parts increasingly difficult to source—a key factor flagged in the Auditor General’s report as a driver of mounting costs.
Uganda Airlines has struggled to turn a profit since its revival in 2019. The latest loss adds to a string of red ink:
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Shs 104 billion lost in 2020/21
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Shs 164 billion lost in 2021/22
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Shs 234 billion lost in 2022/23
In less than five years, the national carrier has accumulated losses exceeding Shs 1 trillion, raising urgent questions about its sustainability.
During Thursday’s heated session, COSASE members grilled the former staff over procurement practices, fleet selection, and management lapses believed to have worsened the airline’s financial woes.
“Ugandans need answers. We cannot keep pouring taxpayers’ money into a black hole,” one legislator remarked during the session.
Current management has defended its operations, unveiling a 10-year strategic turnaround plan that focuses on fleet modernization, operational efficiency, human resource development, and rebuilding stakeholder trust. However, experts caution that with performance indicators such as a return on assets below 5% and a weak assets-to-liabilities ratio, even the most ambitious plan may fail without urgent structural reforms.
Uganda Airlines’ struggles mirror broader challenges faced by state-owned carriers across Africa, from South African Airways to Kenya Airways, where poor fleet choices, political interference, and weak governance have contributed to repeated financial turbulence.
The grilling of ex-staff by COSASE highlights a growing push for accountability. Yet whether the probe will trigger lasting reforms—or merely become another entry in the airline’s troubled history—remains uncertain.
Uganda Airlines’ Shs 237 billion loss is not just a financial statistic. It stands as a stark reminder of the high cost of outdated fleets, costly operational decisions, and inadequate oversight—burdens that continue to fall on the Ugandan taxpayer.
