Close SAA, it’s drain­ing tax­pay­ers’ money

The Mercury - - METRO -

FOR some years, SA Air­ways has been op­er­at­ing at a loss. It is strug­gling fi­nan­cially and tax­pay­ers can­not go on bail­ing it out with amounts run­ning into bil­lions of rand to keep it afloat.

This is bad busi­ness, and the ANC gov­ern­ment should know that. Many for­eign car­ri­ers op­er­ate be­tween South Africa and other coun­tries – the ser­vice is ex­cel­lent to any part of the world.

Pub­lic En­ter­prises Min­is­ter Pravin Gord­han said the car­rier was a poorly run busi­ness and was marred by cor­rup­tion.

SAA will not run prof­itably and com­pe­tently, and if it con­tin­ues to op­er­ate, it will still face fi­nan­cial losses and the South African tax­payer will have to bail it out.

It would be bet­ter to sell SAA to a pri­vate en­ter­prise. Bet­ter still, Fi­nance Min­is­ter Tito Mboweni said at an in­vest­ment con­fer­ence in New York that SAA should be closed be­cause it could not be turned around. Mboweni’s think­ing is prac­ti­cal.

I be­lieve the best op­tion is to close SAA. A de­ci­sion must be made quickly to stem the flow of tax­pay­ers’ money keep­ing SAA afloat. IS­MAIL M MOOLLA uMz­into

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