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United Kingdom’s budget airline suspends flights to Mozambique, due to declining revenue

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United Kingdom-based budget airline, Fastjet, has suspended domestic flights in Mozambique, citing viability challenges as a result of rising competition.

In a statement issued on Wednesday, 23 October 2019, the airline said it would stop domestic flights in Mozambique with effect from Saturday, 26 October 2019.

The suspension includes the flights between Maputo and Tete, as well as between Beira and Quelimane under Fastjet’s code-sharing arrangement with Mozambique Airlines.

The airline cited declining revenue from its Mozambique operations and the competition from Ethiopian Airlines, whose subsidiary Ethiopian Mozambique Airlines is now operating flights on several of the country’s main domestic routes.

It revealed that the competition has seen revenue from its Mozambique operations declining to 1.9 million dollars in the first half of 2019, from 4.2 million dollars during the corresponding period last year.

“The detrimental financial impact of ongoing supply and demand challenges means that suspending our Mozambique operations is the right course of action at this time,” Fastjet interim chief executive, Mark Hurst, said.

He said the airline would resume Mozambique flights “when the general demand for air transport in the country increases sufficiently in comparison with the capacity supplied to allow long term financial viability.”


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