“The study intends to analyse the efficiency gains resulting from privatization and how such gains affect the enterprise’s debt and tax flows, as well as their impact on
the public sector’s borrowing requirements.
Specifically, the study will: Review the trends of Kenya Airways’ debt as a public enterprise and hence government’s debt as a result of subsidizing the airline. Assess the pre- and post-privatization performance of the airline in terms of profitability, capital investment, leverage and efficiency in resource utilization. Assess the fiscal effect. Analyse the changes in the airline’s leverage post privatization.”
