Adds element, context
Adds element, context
JOHANNESBURG, Nov 27 (Reuters) – The South African authorities is engaged on “fast actions” to make sure cash-strapped South African Airways’ (SAA) survival, the general public enterprises ministry stated on Wednesday, warning the airline couldn’t “proceed as is”.
SAA, which hasn’t made a revenue since 2011 and relies on authorities bailouts to stay solvent, suffered a crippling strike this month which pushed it to the brink of collapse.
The airline must safe greater than 2 billion rand ($136 million) of working capital to proceed operations, however business banks will not lend SAA more cash with out extra state ensures.
Finance Minister Tito Mboweni is attempting to wean ailing state companies off authorities help and has not but granted these ensures.
The general public enterprises ministry, which oversees SAA, stated it was working with SAA to allow it to hold on its enterprise. Nevertheless it stated “SAA can’t…