There had been much speculation over Regional Air's future. Early this year, it had to surrender one of its Boeing 737s after it failed to meet business volume projections. It has also come under withering regional and domestic pressure from Kenya Airways, with its superior connectivity. During yesterday's signing of the agreement, Mr Robbie Baird, BA's general manager for alliances and franchises, disputed that the airline was facing a cash-flow crunch. He said BA had been diligent and would never take over an airline that would not survive for long.
Reports suggest uneconomically low passenger uptake.
However, he reported an upturn of late. The airline's destinations include Asmara, Harare, Hargeisa, Khartoum, Lusaka and Djibouti. It also wants to spread its wings in the eastern and southern Africa region. Regional Air expects to add an aircraft to its fleet at the end of the year.