Finance Minister Henry Musasizi has issued a firm directive to Uganda Airlines: the carrier must adopt private-sector business principles to shed inefficiencies and move toward sustainable profitability.
Speaking on the strategic direction of the state-owned enterprise, Minister Musasizi emphasized that the airline needs to transition from its current operational model toward a more commercialized approach. This shift, he argued, is vital to transforming the national carrier into a world-class, reliable airline capable of serving as a key pillar in Uganda’s ambitious “tenfold growth strategy.”
“The Board and Management of Uganda Airlines should implement key reforms to ensure that the airline becomes a profitable and reliable, world-class carrier and a major contributor to Uganda’s economic development,” Musasizi stated. He stressed that strengthening commercial focus and operational efficiency is not merely an option, but a requirement for the airline to secure its future and justify continued government support.
The call for reform comes at a pivotal time for the airline. Acting Chief Executive Officer Girma Wake acknowledged that while the company has made significant strides—including the implementation of a new schedule structure effective July 1, 2026—the business landscape remains fraught with external hurdles.
Wake pointed to the volatility of global fuel prices and the disruptive impact of regional conflicts, which recently forced the suspension of flights to Dubai. Furthermore, he noted that past health challenges, such as the Ebola outbreak, have hampered consistent growth. To navigate these complexities, Wake highlighted the need for a more agile regulatory environment, specifically calling for a “specialized procurement framework.” He argued that current standard procurement processes are ill-suited for the aviation industry, particularly regarding the high-stakes and rapid-turnover nature of aircraft acquisitions and leasing transactions.
Supporting the call for reform, Board Chairperson Priscilla Mirembe Serukka underscored the carrier’s recent milestones. Despite operational challenges, Uganda Airlines has successfully transitioned from a nascent startup into a formidable regional competitor, now capturing 27% of the market share at Entebbe International Airport.
However, Serukka noted that this growth necessitates further financial backing. “The airline requires recapitalization to support aircraft acquisition, meet growing demand across its route network, and improve operational reliability,” she explained.
As the airline looks to the future, expansion plans are already underway. Plans are in motion to launch new routes to Accra and Kigali, signaling the carrier’s intent to strengthen its regional footprint. By combining these growth ambitions with the Minister’s mandate for private-sector efficiency and a tailored procurement system, Uganda Airlines aims to cement its status as a profitable leader in East African aviation.
