Air Zimbabwe taken over by government
Virtually bankrupt Air Zimbabwe - which has amassed debts of about US$140-million - is to be taken over by the equally bankrupt Zimbabwean government and the airline operator will eventually be liquidated according to The Herald newspaper.
In an article published on Business Live, The Herald is quoted as saying that the government will now work to cut airline staff and seek a strategic partner to buy into the national airline.
According to the Transport, Communications and Infrastructural Development Minister, Nicholas Goche, President Robert Mugabe's Cabinet had resolved that Air Zimbabwe is a strategic government asset and needed to be preserved.
He said the government would assume the current debt facing Air Zimbabwe, which has been unable to fly because of a strike by pilots. It has also had its membership of the International Air Transport Association (IATA) suspended.
Read the full article on www.businesslive.co.za.