Uganda Airlines Soars in Passenger Growth but Faces Cargo Challenges Amid Africa’s Aviation Progress

By David Mwanje

KAMPALA– Africa’s aviation sector is experiencing a dynamic shift, with African airlines, including Uganda Airlines, posting robust passenger growth in May 2025, outpacing global trends. However, a troubling decline in air cargo demand underscores persistent trade and logistics hurdles, raising strategic questions for carriers like Uganda Airlines as they navigate an uneven recovery.

According to the latest data released by International Air Transport Association (IATA), African airlines recorded a 9.5% year on year surge in passenger demand in May 2025, outstripping the global growth rate of 5.0%. Uganda Airlines, a key player in East Africa’s aviation landscape, has capitalized on this momentum, but its cargo segment tells a different story.

IATA data highlights Africa’s standout performance, with a 6.2% increase in passenger capacity and a load factor of 74.9%, up 2.2 percentage points from May 2024, though still 8.5% below the global average of 83.4%. The Africa-Asia corridor, a critical route for Uganda Airlines, led global international routes with a 15.9% year-on-year expansion, signaling growing South-South connectivity. Uganda Airlines, operating routes like Entebbe to Nairobi, Johannesburg, Dubai, and London has seen its passenger numbers soar, driven by fleet expansion and strategic partnerships. A recent post by Sophie Nattabo of Uganda Tourism Board on X noted the airline’s ambitious plans to add aircraft to meet rising demand, reflecting confidence in its passenger operations.

In May 2025, Uganda Airlines reported a 12.3% increase in revenue passenger kilometers (RPKs), surpassing the African average, thanks to its modern fleet of Airbus A330neos and CRJ900s. The airline’s load factor reached 76.5%, slightly above the regional average, motivated by strong demand on routes like Entebbe-Dubai, which resumed in 2021 and has since grown steadily.

“Our focus on connectivity and customer experience is paying off,” said Jenipher Bamuturaki, CEO of Uganda Airlines. “We’re seeing record passenger numbers, particularly on our African and Middle Eastern routes, as travelers embrace the convenience and reliability we offer.”

Globally, international passenger demand rose 6.7%, while domestic travel grew by 2.1%. IATA Director General Willie Walsh praised Africa’s performance but cautioned that geopolitical tensions and shifting travel patterns, particularly in North America, are creating uneven growth. “Africa’s passenger growth is impressive, but the cargo side reflects broader economic challenges,” Walsh noted

Indeed, Uganda Airlines, like its African peers, faces headwinds in air cargo. IATA reported a 2.1% year-on-year decline in African cargo demand in May 2025, despite a 2.7% capacity increase, resulting in a cargo load factor of 42.2%, well below the global 44.5%. Uganda Airlines mirrored this trend, with cargo tonne-kilometers (CTKs) dropping 3.8% year on year, even as capacity grew by 4.1%. This mismatch, exacerbated by infrastructure inefficiencies and reliance on commodity-driven markets, has strained the airline’s cargo operations. The Africa-Asia cargo route, while strong globally, showed weaker performance for African carriers, including Uganda Airlines, due to limited intra-African trade networks.

The cargo decline contrasts sharply with global trends, where air cargo demand rose 2.2% in May, supported by stable jet fuel prices and resilient supply chains. A recent partnership with Nigeria to slash air cargo export costs by up to 75% aims to boost Uganda Airlines’ cargo operations to East and Southern Africa, but structural challenges remain. Air cargo, though less than 1% of global trade by volume, accounts for over 33% by value, making it a critical revenue stream African carriers cannot afford to neglect.

For Uganda Airlines, the challenge is clear: balance its thriving passenger business with investments in cargo infrastructure to capture high-value freight opportunities. As Africa’s aviation sector continues to grow, the airline’s ability to address these disparities will determine its role in the continent’s economic ascent.

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