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Fastjet shares slump as airline bosses blame forecast on electoral chaos

Pan-African airline Fastjet has blamed chaos following the general election in Tanzania after its shares began to slump.


The airline’s shares began were down around 7% after it warned that revenues would be lower than expected this year and next.


The airline claimed issues surrounding the election in Tanzania had resulted in “lower demand for travel”. Tanzania is the airline’s main hub for routes between African countries.


Fastjet said sales for 2015 and 2016 would be lower than expected due to the electoral delay. It also attributed it to tougher market conditions and a weakness in some African currencies.


Despite the forecast, the airline still claimed it was “well placed to capture the significant growth potential in the African aviation market”.

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