Zimbabwe: ‘National Airline Needs Strategic Partners’
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Published by the government of Zimbabwe
10 October 2011
AIR Zimbabwe must urgently seek strategic partners to revive its operations, given its crucial role in the country’s economic recovery, industrialists have said.
The industrialists also urged Government to implement the “open skies” policy to allow the entry of new players in the aviation industry and improve flights into Zimbabwe.
Speaking at a breakfast meeting organised by the Zimbabwe National Chamber of Commerce on aviation last week, stakeholders agreed that the only way to revive the airline was to engage strategic partners.
Economic Planning and Investment Promotion secretary, Dr Desire Sibanda said Government was conscious of Air Zimbabwe need for a strategic partner, a fact captured in the Medium Term Plan.
“The move to engage partners for Air Zimbabwe is imperative and is well mentioned in the medium term plan and will be implemented,” said Dr Sibanda.
The revival of Air Zimbabwe is expected to provide an impetus to tourism growth and the entire economy.
One panelist, Mr David Govere, said Air Zimbabwe should come up with a short and long-term strategy to deal with the problem and the engagement of strategic partners stood as the only option.
Mr Govere said Government had also to deal with corporate governance issues affecting the operations of the airline. It was vital to come up with a solid, independent and accountable board.
“Government has to restructure Air Zim and fire the current board which is not performing and come up with a new board that is not politically affiliated,” said Mr Govere.
Former Air Zimbabwe board member, Mr Luxon Zembe said there was need for effective boards that were independent and accountable.
“Corporate governance deficiency is one of the most critical things to be addressed at Air Zimbabwe for the airline to be in a position to lure investors,’ he said.
Last month, Transport and Infrastructure Development permanent secretary, Mr Partson Mbiriri said Government was negotiating with a strategic partner to buy a stake in the troubled airline.
He said it was imperative that Government offloads its controlling stake to private players. ZTA chief operating officer, Mr Givemore Chidzidzi said Government should take full responsibility and allow more players into the sector.
It is understood that about 45 airlines have applied to fly into Zimbabwe but Government is still sitting on the applications in a bid to protect Air Zimbabwe.
But the airline’s acting chief executive, Mr Innocent Mavhunga said Air Zimbabwe “welcomes competition” as it was good for business.
“Air Zimbabwe used to do well when there was competition/ We welcome competition and it is good for business,” he said.
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