Kenya Airways is planning to sell four of its older planes to raise cash after posting record losses.
Acting Transport Cabinet Secretary James Macharia told a House committee that the sale is part of a recovery plan by the airline.
Mr Macharia made the announcement when he met the Transport, Public Works and Housing Committee of the National Assembly on Tuesday.
KQ posted a Sh25.7 billion loss that it blamed on competition from Middle East carriers and high operating costs.
The airline also blamed travel advisories that led to a slump in the tourism industry, as well as runway closures for renovation, for eating into the company's 2014/2015 full-year earnings.
The airline has, however, been accused of poor management decisions, operational inefficiencies and failure to counter competition.
Preliminary evidence gathered by a Senate Select Committee looking into the airline’s operations revealed that strategic errors led to the near-collapse of Kenya’s flag carrier.