Uganda Airlines Launches New Direct Route to London—Despite $300M in Losses

Uganda Airlines Airbus A330-800neo taking off from Entebbe International Airport.

Uganda Airlines has taken a daring leap into the European market, launching direct flights from Entebbe to London Gatwick starting May 18, 2025.

The move, celebrated as a milestone, marks the airline’s first entry into Europe and reconnects Uganda to the UK after nearly a decade without direct flights.

But beneath the fanfare lies a critical question: Can this ambitious route save the struggling national carrier, or will it sink it deeper into financial turmoil?

A New Era for Uganda Airlines?

The airline will operate four weekly non-stop flights using its state-of-the-art Airbus A330-800neo aircraft, slashing travel time from 16 hours to just 9. For business and leisure travelers, the convenience is undeniable.

At the launch event in Kampala, CEO Jenifer Bamuturaki called the route a “turning point” for the airline, signaling the end of its establishment phase and the start of long-term growth.

Hon. Gen. Edward Katumba Wamala, Minister of Works and Transport, echoed this optimism, framing the route as a key pillar of President Museveni’s vision for an “air bridge” to global markets.

The government hopes the route will boost tourism, create jobs, and stimulate economic growth. With Uganda’s reputation as a safari destination, officials are banking on attracting high-spending tourists to offset operational costs.

Financial Storm Clouds Loom

But the celebratory mood is tempered by stark financial realities. Since its revival in 2019, Uganda Airlines has hemorrhaged money, racking up losses exceeding 1 trillion USh (US$300 million).

While recent reports show a 26% reduction in losses, the airline remains unprofitable.

In 2023, CEO Bamuturaki predicted profitability within three years. Yet, with revenue still 46.8% below targets and losses rising by 22%, that goal seems increasingly elusive.

Critics argue that the London route is a risky bet, especially given British Airways’ withdrawal from the same market in 2016 due to unprofitability.

Professor Wasswa Balunywa, former chairman of the airline, is among the skeptics. “The London route is a tough sell,” he said. “We should have prioritized markets like China, where demand is growing.”

A Cutthroat Market

The African aviation industry is notoriously brutal, especially for long-haul routes. Ethiopia Airlines stands as a rare success story, while others have struggled to stay afloat.

Uganda Airlines’ survival in this competitive landscape will depend heavily on government subsidies and sustained demand from tourists.

Unlike its Dubai and Mumbai routes, which cater largely to labor migrants, the London route targets high-value tourists.

But with global economic uncertainty and rising fuel prices—now at USD 3.5 per litre—the airline faces an uphill battle.

A Strategic Move or a Desperate Gamble?

Despite the challenges, some analysts see the London route as a strategic necessity.

“It’s about more than profitability,” said one industry expert. “This is about positioning Uganda Airlines as a global player and reclaiming lost connectivity.”

The airline has also leased an Airbus A320 to address operational gaps, signaling its commitment to expansion. But with funding details still murky and operational costs soaring, the road ahead is fraught with risk.

Related: Emirates Airlines Delegation Meets Museveni to Strengthen Uganda’s Tourism Industry

What’s Next?

As Uganda Airlines embarks on this high-stakes journey, all eyes will be on its financial performance. Will the London route become a lifeline, or will it drag the airline further into the red?

One thing is clear: The coming years will be make-or-break for Uganda Airlines. If it succeeds, it could redefine African aviation. If it fails, the consequences could be catastrophic.

For now, the airline is betting big on London. Whether that bet pays off remains to be seen.

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