The Tourism Fund will be one of three recipients of revenue collected from the sale of air tickets following changes on the Air Passenger Service Charge Amendment Act, 2025.
The law which was assented to by President William Ruto on October 15, 2025 makes the fund, the Kenya Airports Authority (KAA), the Kenya Civil Aviation Authority (KCA) as beneficiaries of proceeds collected from charges air passengers pay upon purchase of air tickets.
The new law replaces the Tourism Promotion Fund with the Tourism Fund as beneficiary of the proceeds as the two entities are currently being considered for merger.
According to Parliamentary Affairs Principal Secretary Dr Aurelia Rono, the new amendment law will eliminate duplication of roles, improve efficiency, and enable the government to finance tourism related projects from a single source.
“The new amendment law also aligns the utilization of the Air Passenger Service Charge with the policy on the merger of State Corporations with overlapping or related mandates to improve operational efficiency and eliminate redundancy,” she said.
According to the Air Passenger Service Charge Act, every person who purchases a ticket for an external or internal journey are required to pay an air passenger service charge of $50 or the equivalent in specified currency or in Kenya shillings for an external journey and Ksh 600 for an internal journey.
“It is noteworthy that the Tourism Promotion Fund and the Tourism Fund have already been earmarked for merger into a single entity,” added Rono.
However, the law exempts children under two years as well as passengers on transit from paying the charges placed on tickets.