Uganda Airlines, the country’s national carrier, is preparing to build its own aircraft maintenance hangar in a move set to significantly cut costs and improve operational efficiency. This major development comes as part of the airline’s broader 10-year strategic plan aimed at transforming the carrier into a competitive player on both regional and international routes.
A Growing Fleet and Rising Maintenance Costs
Currently, Uganda Airlines operates a fleet of six aircraft, comprising two Airbus A330-800neo jets for long-haul flights and four Bombardier CRJ-900LRs serving regional routes. The airline also recently introduced an Airbus A320-200 under a short-term wet lease from Lithuanian operator DAT to support its growing network.
However, maintenance expenses remain a significant burden, accounting for 20% of the airline’s total budget. Presently, most major maintenance operations are outsourced to foreign Approved Maintenance Organizations (AMOs), resulting in high costs and logistical challenges.
Building a Maintenance Hangar in Entebbe
To reduce this dependency, Uganda Airlines is working with the Ugandan Civil Aviation Authority (CAA) to secure land for the construction of a modern aircraft hangar at Entebbe International Airport. The project is estimated to cost at least $50 million (UGX 183 billion).
Adedayo Olawuyi, Chief Commercial Officer at Uganda National Airlines Company Limited, confirmed that the hangar is a cornerstone of the upcoming strategic plan.
“We have been engaging with the Ugandan Civil Aviation Authority. We are looking to acquire land from them to build our own hangar, enabling us to conduct in-house maintenance,” Olawuyi stated.
In 2023, Uganda Airlines received approval from the CAA to become an Approved Maintenance Organization (AMO). Since then, the airline has enrolled engineers capable of handling line maintenance checks at Entebbe. The eventual goal is to develop the capacity to perform heavy maintenance checks locally, saving valuable foreign exchange and boosting technical expertise in Uganda.
Expanding the Business Model: Hotel and Catering Services
In addition to maintenance capabilities, Uganda Airlines is also exploring plans to build its own hotel facility near Entebbe Airport. This move is designed to enhance the experience of transit passengers who often face layovers of up to 10 hours, while also reducing costs currently incurred in providing third-party hotel accommodations for passengers and crew.
“There are instances where passengers have long layovers of up to 10 hours in Entebbe. Providing them with hotel accommodation enhances their experience and promotes tourism,” said Olawuyi.
This integrated approach mirrors successful strategies employed by major carriers such as Ethiopian Airlines, which owns and operates its own airport hotels, catering services, and maintenance facilities.
Fleet and Route Expansion
As part of the strategic plan, Uganda Airlines is set to expand its fleet with the acquisition of:
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Four mid-range aircraft: including Airbus A320 and A321neo
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Two Boeing Dreamliners
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Two dedicated cargo aircraft: a Boeing 737 freighter and a Boeing 777 freighter
The airline recently launched its third intercontinental route to London Gatwick, adding to Dubai and Mumbai. Its network now includes 17 destinations across Africa and Asia, with upcoming plans to introduce new routes to Accra (Ghana), Jeddah and Riyadh (Saudi Arabia), and Cape Town (South Africa).
Looking ahead, Uganda Airlines aims to serve between 32 and 35 destinations by the end of the 10-year period. A long-anticipated route to Guangzhou, China, is also on the horizon, pending the acquisition of a third wide-body aircraft.
“If we acquire the required aircraft, we plan to launch a route to Guangzhou, China. However, with our current fleet, once we start London operations, we won’t be able to add Guangzhou until we acquire a third wide-body aircraft,” Olawuyi explained.
A Vision for the Future
Uganda Airlines’ multifaceted expansion strategy—focused on infrastructure development, fleet growth, route diversification, and vertical integration of services—marks a turning point for the young airline. By reducing dependency on external maintenance and services, the national carrier is setting the stage for long-term sustainability and regional leadership in aviation.
As the airline prepares to launch its new strategic plan later this year, all eyes will be on how it navigates the skies ahead—and whether its ambitious goals will lift it into the ranks of Africa’s top carriers.
