Air Namibia slowly moves to profitability, halfway through a five-year turnaround plan
Air Namibia, the state-owned national carrier of Namibia has been loss making since inception, but under a new government funded five-year turnaround strategy the carrier is slowly moving towards financial sustainability through investment in new aircraft and improved revenue management systems.
Air Namibia has a long history of government assistance to remain operational. A previous turnaround attempt used nearly NAD2 billion (USD196 million) in government bailout funds between 2003 and 2009. The current plan, which was announced in 2011, is expected to see the carrier break even by 2016 at an expected cost of NAD1.6 billion (USD156.9 million) to the taxpayer.
The carrier also signed its one and only codeshare with Kenya Airways in Jul-2013 covering services between Lusaka and Johannesburg and Windhoek and Nairobi. The partnership provides valuable access to the important East African hub of Nairobi, while also extending Kenya Airways' presence in southern Africa through its strategy of working with smaller African carriers.
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