Sfiso Buthelezi: Treasury will never allow SAA to go under
Deputy Finance Minister Sfiso Buthelezi is attending a meeting of Parliament's Standing Committee on Public Accounts.
Buthelezi is attending a meeting of Parliament's Standing Committee on Public Accounts.
Members of Parliament are grilling the SAA board chairperson and top executives about the airline's irregular and wasteful expenditure over the past financial year.
“National Treasury will never allow the airline to go under, that’s the number one. Two, we are suspicious of a number of things which happened before and I don't think I want to get into that. We are also saying that we don’t want to privatise SAA.”
Chief financial officer Phumeza Nhantsi says SAA is still having difficulty paying its suppliers because of cash-flow problems and has asked Treasury for support.
In July the government gave SAA R2.2 billion to prevent it defaulting on a loan that was called in by Standard Chartered.
Nhantsi says they are hopeful lenders will agree to extend the further debt of about R6.8 billion becoming due next month.
Newly appointed CEO Vuyani Jarana is expected to come on board on 1 September but has yet to confirm this, according to board chairperson Myeni.