Rwanda's national carrier plans fleet expansion, listing

Sun Nov 4, 2012 8:34am GMT
 

By Jenny Clover

KIGALI (Reuters) - Rwanda's national carrier plans to more than double its aircraft fleet in the next five years, and to list on the country's stock exchange once it turns profitable, a senior company executive said.

At present Rwandair has a fleet of seven aircraft. It plans to increase this to 17 planes over the next five years, which would allow the airline to expand its route network to Europe, China and India, Chief Executive Officer John Mirenge told Reuters in an interview late on Friday.

The carrier - which is loss-making and 99 percent government-owned - recently added a new 75-seater Bombardier CRJ-900 plane which it bought from the Canadian company. The second is due to arrive on Monday.

"We have plans that after 2015 - after we have consolidated as a regional carrier - we will start operating out of the continent into Europe and also China," Mirenge said.

"We are already talking to Boeing about their 787s that can reach Europe and China with some good cargo holds that will carry the excess baggage that are required."

He said the new CRJ-900s will join Rwandair's fleet of two Boeing 737-800s, bought last year from Boeing, two Boeing 737-500s that have been operating since 2010 and a Bombardier Dash-8 turboprop that operates on domestic routes.

The seven-strong fleet is a mixture of owned and leased planes. The projected fleet of 17 would also include both owned and leased aircrafts.

"We are not looking at ourselves going into a buying spree because that burdens your balance sheet and it's not a good mix. So if the demand on a market requires it there are always planes to lease, as long as they can pay for their own survival," he said.   Continued...

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