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South Africa Hatches Plans to Build New Carrier From What’s Left of the State Airline

It is no secret that South Africa’s state-owned carrier is nothing to write home about. It has brought in nothing but losses upon losses. Now, the country is hatching plans to develop a new national airline that would possibly yield better results. The airline will also be created from the country’s state-owned carrier.

The current carrier owned by the state is at the point of being liquidated. But this new idea will help make the sector and business more attractive and yield more revenue for the government.

According to the country’s Department of Public Enterprises, a wise replacement for the South African Airways is creating room for private and public owners. They will not only maintain South Africa’s trade connection but make a profit.

The ministry also went further to state that the current plan has got strong backing from the South African Airway’s over 5,000 workforces.

According to Pravin Gordhan, SA’s Public Enterprise Minister, the old South African Airways is long dead, and there’s no doubt about that. The minister spoke via phone from the capital, Pretoria.

The entire aviation industry in the country has plunged into a deep crisis, all because of the COVID-19 pandemic. SA Express, which is among the Wider SAA group, had already been placed in provisional liquidation. At the same time, Comair Ltd, a low-cost operator, recently said it would sell its assets and are currently in talks with some lenders.

On the other hand, Gordhan, the country’s Public Enterprise Minister, didn’t provide details on how the new South African Airways will be established. Instead, he called it a “complex issue.” He also showered praises on the effort of the current version’s workers in the movement of medical supplies and repatriation of stranded citizens due to the global pandemic. He also pointed out that the country requires “a national flag carrier,” one that will bring pride.

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