Air Zimbabwe in Ksh.30B debt appoints new boss


Air Zimbabwe in Ksh.30B debt appoints new boss

In Summary

  • The airline has failed to attract private investors in the past.
  • The government said in April that it had bought two Boeing 777 aircraft and an Embraer plane from Malaysia.
  • However, the planes would be leased to a new local airline until Air Zimbabwe returned to profitability.

Zimbabwe has appointed an independent administrator to run its loss-making national airline.

This is in a bid to try and revive its fortunes, according to an official.

Air Zimbabwe has been struggling with a $300million (Ksh.30billion) debt.

Only three of its planes are operational, the other three are grounded; which has forced it to abandon international routes.

Justice Minister, Ziyambi Ziyambi appointed Harare based chartered accountant, Reggie Saruchera as the administrator.

He has been given powers to raise money in any way without the authority of shareholders, for the purposes of the reconstruction,” according to a government gazette published late on Friday.

Finance Minister, Mthuli Ncube said on Friday that the government was hoping to sell stakes in Air Zimbabwe and other state owned companies under a package of reforms.

The airline has failed to attract private investors in the past.

The government said in April that it had bought two Boeing 777 aircraft and an Embraer plane from Malaysia.

However, the planes would be leased to a new local airline until Air Zimbabwe returned to profitability.

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Story By Reuters
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