fastjet 2016 outlook Part 1: Kenya expansion following breakthrough Tanzania-Kenya launch

African LCC group fastjet is in the middle of the largest expansion of its international route network since it commenced operations three years ago, with four new routes being launched in early 2016. Fastjet is now the largest LCC in Africa's international market and plans further expansion throughout 2016, including from a new base in Zambia.

Two newly launched routes to Kenya from its original base in Tanzania represent a breakthrough after three years of regulatory delays. Two new upcoming routes to South Africa from its second base in Zimbabwe are also a major milestone as they represent the first international routes outside Tanzania, a stepping stone in fastjet's connect the dots pan-Africa strategy.

Fastjet has huge opportunities for further growth - particularly after the suspension of services by flyafrica.com, the only other pan-African LCC group - but there are also huge challenges to overcome still, including regulatory hurdles and unfavourable economic conditions in some of its markets. The latest regulatory setback occurred in Malawi, prompting fastjet to suspend services to Lilongwe.