Royal Jordanian and Kuwait National Airways decline; Kenya Airways gains on surge in wider market

Royal Jordanian (-4.4%) was the biggest decliner on Tuesday. Jordan and Malaysia upgraded their air services agreement to liberalise direct air transport between the two countries. Under the new agreement, Malaysian carriers will be permitted to operate services to/from Aqaba King Hussein International Airport without restrictions.

See related CAPA Profile: Liberalisation and Open Skies

RJ shares were also lower on a 0.7% decline in the Amman Stock Exchange for the day.

Elsewhere in the Middle East, Kuwait National Airways (-2.0%) was also down as the Kuwait Stock Exchange (+0.2%) reversed losses for the day prior. Jazeera was meanwhile flat, while Air Arabia (+1.2%) gained, boosted by a 1.1% rise in the Dubai Financial Market.

In Africa, Kenya Airways (+3.0%) meanwhile continued to gain from strong improvements in passenger traffic for 2Q2010. The carrier reported a 5.6 ppt improvement in load factor for the quarter, to 68.2%. It was also boosted by a 2.5% surge in the country’s All-Share Index, the markets biggest gain since Mar-2009.

1time (-2.6%) was down, while Comair and Lonrho were flat for the day.

Selected African and Middle Eastern airlines share price movements (% change): 03-Aug-2010