National carrier Kenya Airways (KQ) recorded a net loss of Sh38.26 billion in the financial year ended December, more than double the Sh15.87 billion loss reported in 2021.

The increase in losses was primarily due to a rise in financing costs resulting from the government taking over the servicing of one of the airline's dollar-denominated loans.

The accumulated loss for the national carrier now stands at Sh172.68 billion.

However, the board remains optimistic about the airline's prospects, stating that it is on track to break even this year and achieve profitability by 2024, something it has not accomplished since 2012 when it recorded net earnings of Sh1.66 billion.

Despite the challenging situation, the company's Chief Executive Officer Allan Kilavuka, expressed excitement about the progress the airline has made, stating that the green shoots of change have started to show.

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“We are emerging. I am very excited with what we are doing. We have a journey to walk to 2024, but green shoots of change have started to show,” Kilavuka said.

Although KQ's total income rose from Sh70.22 billion to Sh116.87 billion, the net loss increased significantly due to a finance cost of Sh18 billion passed through the income statement after the government assumed responsibility for servicing one of the dollar-denominated loans.