South African Airways, one step away from bankruptcy. He lost government support.
South African Airways is going through a difficult time. It is on the brink of bankruptcy, after the South African government announced it was refusing to support the company.
South African Airways has been facing financial problems for some time, and the state has intervened to save the company. But now the situation has worsened, with the COVID-19 pandemic, and the authorities have decided not to inject another 10 billion rands ($ 532 million).
The South African government will put South African Airways under bankruptcy protection to begin restructuring the airline. The South African Ministry of State-owned enterprises said it would look at "options" to help South African Airways. South Africa needs a profitable, profitable and long-lasting airline.
South African Airways has made great efforts to stay on the market. It significantly reduced the domestic and international operational network. However, it seems that the efforts were not enough. And the COVID-19 pandemic is further amplifying the crisis in South Africa's airline. After flyBe, which went bankrupt in early March, SAA could be another collateral victim of COVID-19.