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    Kenya Increases its Air Passenger Service Levy

    Fred
    By Fred Obura
    - October 22, 2025
    - October 22, 2025
    AviationKenya Business newsPublic Policy
    Kenya Increases its Air Passenger Service Levy

    The Cabinet Secretary for Transport now holds the authority to vary air passenger service charges from time to time through official gazette notices, following the enactment of the Air Passenger Service Charge (Amendment) Bill, 2025.

    • •The new law increases the international charge to US $50 and the domestic fee to KSh 600, while providing flexibility to adjust these rates as needed to meet sector funding demands.
    • •This amendment also reshapes the distribution of proceeds collected from air travel tickets: funds will be apportioned among four key agencies-the Kenya Airports Authority, Kenya Civil Aviation Authority, Kenya Meteorological Service Authority, and the Tourism Fund.
    • •The bill was among the ones signed into law by President William Ruto on Wednesday 15th October, 2025.

    “The intent of this Bill is to ensure that these monies are shared in a way that eliminates duplication and guarantees sustainable financing for key institutions,” Leader of the Majority Party, Kimani Ichung’wah, said when tabling the bill.

    Included in the revised distribution is the Kenya Meteorological Service, which plays a critical role in aviation safety through weather forecasting and disaster preparedness. This replaces the older arrangement which only involved aviation entities and the Tourism Promotion Fund.

    The consolidated Tourism Fund aims to streamline tourism financing, enabling more effective marketing and development initiatives that boost Kenya’s position as a premier tourist destination.

    The Kenyan Wall Street

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