Gigaba warns against ‘hysteria’ over SAA bailout proposal

Finance Minister Malusi Gigaba says the proposals being considered to recapitalise SAA have not been finalised.

FILE: Minister Malusi Gigaba. Picture: Christa Eybers/EWN.

PRETORIA - Finance Minister Malusi Gigaba has cautioned against what he calls hysteria over the latest proposal to bail out the South African Airways (SAA), saying Cabinet is yet to make a final decision.

The minister was speaking at a briefing in Pretoria after meeting with the chief executive initiative.

Earlier this week, it emerged that government is considering selling its shares in Telkom to recapitalise the ailing airline to the tune of R10 billion.

He numerous finding options are being explored.

Gigaba says the proposals being considered to recapitalise SAA have not been finalised.

“I would, therefore, like to caution against any hysteria created by our considering of various options. Cabinet has appointed four ministers of public enterprises, telecommunications and postal services, finance and economic development to look at various options to capitalise the SAA.”

He says this is being dealt with as a matter of urgency.

“We need to finalise these issues as quickly as possible. We do not want to be exposed to any hysteria as we undertake that work, but we are aware of the challenges of the moment and the need for us to ensure that we can resolve these matters as speedily as possible.”

LISTEN: SAA to receive R10bn bailout?

(Edited by Winnie Thelestane)