Public Enterprises Minister Pravin Gordhan said none of the funds borrowed from the International Monetary Fund (IMF) would be used to bail out South African Airways (SAA).
The government has concluded an agreement with the IMF to receive a loan of $4.2 billion, which translates into about R70 billion.
Gordhan was responding to questions during Wednesday’s National Assembly sitting to consider and vote on the Adjustment Appropriation Bill tabled by Finance Minister Tito Mboweni last month to deal with the COVID-19 crisis.
Opposition Members of Parliament (MPs) have mocked efforts to launch a new airline while the COVID-19 pandemic rages – but Gordhan said the government’s aim is to have a viable, competitive, and sustainable airline.
“It must save as many jobs as possible and retain as many skills as possible – and ultimately there must be no reliance on the fiscus. That means the end of bailouts, not the beginning of bailouts.”
Gordhan said none of the IMF money that South Africa had been forced to borrow would be used to prop up the struggling national carrier.
“The IMF money is not going to be used for SAA, I think the minister of finance has made that clear.”
The minister said potential investors who have expressed interest in investing in SAA are being considered.
“They are currently being reviewed, and when we have some results, we will announce them.”
Gordhan and Mboweni have committed to “mobilising” funds for SAA, but as yet there’s no clear indication of where the money will come from.
-EWN
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If love lives her was a couple, it would definitely be The Queen actor Vuyo Ngcukana and his leading lady Renate Stuurman who can’t seem to get enough of each other.
The two might not share a lot of their relationship with the public on social media but Renate couldn’t help but brag about the romantic gesture that was don’t by her guy. Vuyo scored major brownie points when he delivered a bouquet of flowers for Stuurman while she was on set and the happy actress took to twitter to show off her lovely surprise. continue reading
