Economic analyst, Erich Bloch, told The Zimbabwean that Air Zimbabwe still had to grapple with capitalisation problems.
“They are trying very hard to get themselves re-established. They have started flying again. They still need new capital and prospective partners will wait to see what happens after the elections before making any decisions,” Bloch said.
The International Air Transport Association recently re-registered Air Zimbabwe following its suspension last year. The local carrier secured a deal with Air France KLM for the maintenance of its new Airbus A320 aircraft. Godfrey Kanyenze, another economic analyst, said it was too early to say whether Air Zimbabwe could regain its market share.
“It’s too early to say. We haven’t heard how they have resolved challenges with their workforce and the issue of their debt,” he said.
Earlier this year the airline’s debt reached $188 million with $158 million owed to local creditors and the remaining $30 million being foreign debt. 600 of the airlines 1,000 strong workforce were recently sent on leave to cut the airline’s bloated wage bill.
Post published in: News