Jambojet to Lease Eighth Aircraft in Local Expansion Drive

As it continues to grow in the local market, low-cost airline Jambojet plans to lease another used Bombardier Dash 8 Q400 aircraft, bringing its fleet total to eight.

According to the Kenya Airways subsidiary, it is in talks with a lessor to lease a plane on the market for the past four years. It anticipates using the plane by August 23, 2023.

The aircraft will be added to Jambojet’s fleet of seven Dash 8-Q400s, which are owned by Falko and leased from Nordic Aviation Capital and Montrose Global.

The aircraft will be the eighth for Jambojet. In November 2022, it received delivery of its seventh Dash 8 Q400, and it is now operating out of Jomo Kenyatta International Airport (JKIA) as its hub.

“We are leasing one more aircraft and it’s a 2019 plane which is four years old. This is to increase capacity to Mombasa, Kisumu, Eldoret and Malindi,’’ Jambojet CEO Karanja Ndegwa told one local daily in an interview last week.

Due to the challenging operating environment, Jambojet has started to warm up to old aircraft.

The Kenya shilling’s ongoing depreciation versus the dollar is causing Jambojet to experience significant operating costs. Numerous other airlines around the world are affected by the case.

Additionally, the state has increased the Value Added Tax (VAT) on petroleum goods by twofold to a whopping 16 percent. As a result, airlines like Jambojet will soon be compelled to raise their ticket rates, which will be especially onerous on middle-class passengers who prefer flying over driving.

When determining the ticket price, which is primarily determined by the cost of fuel, airlines typically take into account variables like the dollar exchange rate, landing fees, and navigation fees.