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Uganda Airlines Expands Market Share and Routes as Government Prioritizes Air Transport in FY2025/26 Budget

by Wasswa Deo
June 12, 2025
in News
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KAMPALA, Uganda – While delivering the national budget speech at Kololo Independence Grounds, Finance Minister Matia Kasaija has highlighted major achievements and future plans for Uganda’s aviation sector, emphasizing the growing role of Uganda Airlines in boosting trade, tourism, and affordable travel.

Minister Kasaija noted that the National  Airlines now flies to 17 direct international destinations, significantly reducing travel time and costs for passengers.

The national carrier has triggered regional competition, resulting in lower airfare prices, such as a return ticket to Nairobi stabilizing at around USD 300, compared to USD 800 in 2019

“Madam Speaker, the National airline is supporting trade and tourism in addition to business travel,” Kasaija said, noting that it is now the largest operator out of Entebbe International Airport, with a 24% market share, up from just 4% in 2019.

Minister noted that the airline’s revenue has grown exponentially, from Shs28 billion in FY2019/20 to Shs319 billion in FY2023/24.

Minister is optimistic that with increased capitalization and the planned acquisition of more aircraft, the airline is set to improve efficiency and offer more direct, and affordable international routes.

Entebbe Airport Expansion Nears Completion

The Minister also revealed that the upgrade and expansion of Entebbe International Airport is nearing completion. “The modernized airport now features a new cargo facility and passenger terminal, developments expected to further enhance passenger experience, regional trade, and tourism,” he stated.

FY2025/26 Priorities for Aviation

Looking ahead, Kasaija outlined key aviation priorities for the upcoming financial year:

  • Additional capitalization of Uganda Airlines to acquire more aircraft and expand routes for both passenger and cargo services.
  • Operationalization of Kabaale International Airport, plus the rehabilitation and upgrade of strategic airports and aerodromes across the country.

He emphasized that to support this integrated infrastructure agenda, the government has allocated Shs6.92 trillion in FY2025/26 for transport and infrastructure development, which includes roads, railways, and aviation.

“These investments will strengthen connectivity, promote tourism, and improve logistics for trade,” Minister Kasaija said.

Tags: Aviation sectorDirect Flightentebbe International AirportFEATUREDInfrastructure DevelopmentMinister KasaijaUganda AirlinesUpgrade
Wasswa Deo

Wasswa Deo

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