Kenya Moves to Strengthen the Aviation Sector Amid Plans to Modernise Airports

Kenya, 24 October 2025 - Kenya has taken a decisive step to fortify its aviation sector amid ongoing plans to modernise airports and enhance safety standards.

This comes after President William Ruto on Wednesday, 15 October 2025, assented to the Passenger Air Ticket Levy (Amendment) Bill, a new law that revises air ticket charges and restructures how proceeds are shared among key agencies in the aviation and tourism ecosystem.

Under the amended law, the international passenger service charge rises to US$50, about (KSh6500), while the domestic levy increases to KSh600.

Crucially, the legislation provides for flexibility to adjust these rates in the future depending on the funding needs of the aviation sector.

The revised levy is expected to boost financing for the Kenya Airports Authority (KAA), Kenya Civil Aviation Authority (KCAA), Kenya Meteorological Service (KMS), and the newly consolidated Tourism Fund (TF) — all vital institutions that play a role in keeping Kenya’s skies safe and its tourism sector vibrant.

The new law represents more than just a price adjustment; it signals a strategic restructuring of Kenya’s aviation funding model.

"We aim at good," Dr Ruto noted while assenting the bill.

In fresh efforts by the State to spread the proceeds across four agencies, the government aims to reduce duplication, promote accountability, and ensure that all key players in the sector are sustainably financed, according to President Ruto.

Not so long ago, when tabling the Bill in Parliament, Leader of the Majority Party Kimani Ichung’wah noted that the intent was to “ensure that these monies are shared in a way that eliminates duplication and guarantees sustainable financing for key institutions.”

This reform replaces an older system that primarily involved aviation agencies and the Tourism Promotion Fund.

The inclusion of the Kenya Meteorological Service — long seen as a technical, but underfunded player — underscores the growing recognition of its importance in aviation safety.

Accurate weather forecasting and disaster preparedness have become indispensable in ensuring smooth operations and reducing flight risks in a region prone to extreme weather events.

For passengers, the impact of the new levy will be most visible in ticket prices, as airlines typically pass such statutory fees directly to consumers.

The increase, though modest relative to total airfare, may be felt more keenly by domestic travellers and budget-conscious passengers. Still, aviation analysts argue that the law’s long-term benefits could outweigh the immediate cost implications.

"If the funds are managed transparently, travellers could experience noticeable improvements — from modernised airport terminals and more efficient check-in systems to enhanced air navigation, safety oversight, and weather information services," observed a frequent air traveller Mr John Omollo.

The goal, as industry observers point out, is not just to collect more revenue but to ensure that the entire aviation ecosystem — from air traffic management to passenger comfort — is better supported.

The law comes at a pivotal moment. Kenya is in the midst of an ambitious plan to modernize Jomo Kenyatta International Airport (JKIA), expand regional hubs like Moi International Airport in Mombasa and Eldoret International, and upgrade smaller domestic airstrips that connect the country’s tourism circuits.

These projects require sustained funding to meet international standards set by the International Civil Aviation Organisation (ICAO) and to position Kenya as the region’s preferred aviation hub.

The amended levy is therefore seen as a reliable, locally generated revenue stream that could reduce dependence on external borrowing or donor funding.

The inclusion of the Tourism Fund also aligns the aviation sector with the government’s broader economic goal of boosting tourism.

With the fund now consolidated, tourism financing is expected to become more efficient, enabling targeted marketing, infrastructure support, and product diversification.

This synergy between aviation and tourism financing is intended to help Kenya reclaim its position as a premier global destination.

The Kenya Airports Authority, which manages and maintains the country’s airports, stands to benefit significantly from increased allocations.

Enhanced funding could accelerate the modernisation of terminals, runway expansion, and safety upgrades.

The Kenya Civil Aviation Authority will also receive a share of the proceeds, strengthening its capacity for safety oversight, personnel training, and regulatory compliance.

A well-funded KCAA is critical for maintaining Kenya’s Category 1 safety rating, which allows direct flights to major international destinations.

Meanwhile, the Kenya Meteorological Service gains formal recognition in the revenue framework.

Its inclusion ensures that aviation weather forecasting and disaster preparedness are sustainably funded — a vital safety net for pilots and passengers alike.

And the Tourism Fund — formed from the consolidation of previous tourism promotion entities — is expected to channel resources into marketing Kenya abroad, developing new tourist products, and supporting community-based tourism initiatives.

While the reforms promise a stronger aviation and tourism ecosystem, some stakeholders have urged caution.

But discreetly, some airlines and consumer groups have warned that higher levies could make Kenyan airports less competitive compared to regional hubs such as Addis Ababa and Kigali, where passenger charges are lower.

Experts stress that transparency and accountability in how the funds are utilized will determine the success of the new levy.

The key, according to transport economists, is ensuring that the extra money travellers pay translates into better services, safer skies, and world-class infrastructure.

President Ruto’s assent to the Passenger Air Ticket Levy Bill marks a significant policy shift toward sustainable and self-reliant sector financing.

As Kenya fortifies its aviation infrastructure and tourism competitiveness, this law lays the groundwork for long-term growth, enhanced safety, and improved traveller experience.

Mr Omollo noted that while airfares may edge up slightly, the reform sets Kenya on a path toward a more modern, efficient, and globally competitive aviation sector — one that not only connects the nation to the world but also ensures that every flight contributes to the country’s economic takeoff.