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Friday, September 4, 2015

Bad times bring KQ and Kenya Tourism Board together


Kenya Airways CEO Mbuvi Ngunze (left) and Kenya
Kenya Airways CEO Mbuvi Ngunze (left) and Kenya Tourism Board Managing Director Muriithi Ndegwa at KQ offices in Nairobi on September 3, 2015. SALATON NJAU |  NATION MEDIA GROUP
By OTIATO GUGUYU
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Kenya Airways (KQ) and the Kenya Tourism Board (KTB) have signed a pact to jointly market the country in a bid to turn around their fortunes.
Both the airline and the tourism industry have taken a dip in fortunes in the first half of the year with shrinking tourist numbers due to security threats and the outbreak of Ebola in parts of the national carrier’s most lucrative markets, West Africa.
Under the Memorandum of Understanding KQ and KTB will jointly target key markets in Nigeria, China, Uganda and France which the Tourism Board says are key to diversification strategy.
KTB wants to focus on African and Asian markets to spur tourist numbers through KQ which carries 55per cent of all the tourists who come to Kenya.
The two bodies will also partner to venture into new routes including Taiwan and Vietnam.
KTB Managing Director, Muriithi Ndegwa said they plan to eventually go further into other emerging markets including the Gulf Cooperation Council (GCC) states, South Africa, Zambia, West and Central Africa.
KQ Managing Director Mbuvi Ngunze said traffic to Monrovia, Liberia is already returning to pre-Ebola outbreak levels after the airline was given a go ahead to fly there from Nairobi.
“We have received permission to carry fifth freedom traffic between Accra, Ghana and Freetown, Sierra Leone and Monrovia. We have also been allowed to fly Monrovia to Nairobi,” he said.
FLY TO SIERRA LEONE
Mr Ngunze said there were strong indications that the Ministry of Health would allow them to fly directly to the Sierra Leone capital once the situation is assessed.
KTB MD said the two institutions will also host all their services under one roof transforming KQ offices around the world into one stop shops where one can make all the travel arrangements, visa applications and hotel booking to Kenyan destinations advertised by KTB.
They will also combine marketing strategy through KQ’s anmd a new KTB magazine Tembea to be published soon.
The national carrier has been struggling, reporting a Sh25.7 billion ($245 million) loss this year. Mr Ngunze however says the airline is still healthy ferrying over 12,000 people everyday.
He said that the turnaround strategy was not a quick fix and that they were currently reviewing all aspects of the business.
“The turnaround is not a single event and will not happen overnight, when the strategy is ready we will shear with our stakeholders,” he said.
He however refrained from commenting on National Treasury Cabinet Secretary Henry Rotich’s position that top Kenya Airways managers could be sacked as the government prepares to steer the airline back to profitability.

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