Transport PS Solomon Kitungu told Shipping & Logistics that the study is financed by the World Bank.
The study comes at a time domestic air travel operators have requested Sh10 billion state bailout to cushion them from reduced bookings in the wake of business disruptions caused by Covid-19.
The State has embarked on a study to establish the impact of Covid-19 on local aviation business with a view to establish how they can cushion the carriers currently experiencing loses due to reduced bookings.
Transport PS Solomon Kitungu told Shipping & Logistics that the study is financed by the World Bank.
The study comes at a time domestic air travel operators have requested Sh10 billion state bailout to cushion them from reduced bookings in the wake of business disruptions caused by Covid-19.
The operators have seen their revenues drastically tumble after President Uhuru Kenyatta mid last month banned movement into and out of Nairobi, Kajiado, Machakos, Kiambu, and Nakuru in a fresh bid to curb a spike in coronavirus infections.
The directive, affecting the populous counties has sharply cut demand for passenger flights across the country.
Domestic air operators clarified that the Sh10 billion is not a grant or a loan but a “relief fund” to help cushion the sector from collapsing during this difficult time.
Apart from the Sh10 billion, they also want the government to remove value added tax (VAT) on the importation of all aircraft spare parts.
PAYE Tax Calculator
Note: The results are not exact but very close to the actual.
