Cabinet appoints 4 ministers to look at various options to recapitalise SAA

Finance Minister Malusi Gigaba says the government has not yet adopted any of the SAA recapitalisation proposals.

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

PRETORIA – Finance Minister Malusi Gigaba says selling South African Airways (SAA)’s non-core assets are among the proposals being considered to raise funds to recapitalise the ailing airline.

Gigaba made the comments on Friday following a meeting with the CEO Initiative.

It emerged this week that government was considering selling its shares in Telkom to raise the capital to bail out the national carrier.

Gigaba says the government has not yet adopted any of the SAA recapitalisation proposals.

“I would like to, therefore, caution against hysteria created by our considering of various options. Cabinet has appointed four ministers to look at various options to capitalise South African Airways.”

He says apart from selling Telkom shares, there are other ideas on the table.

“Such as the disposal of non-core assets, share equity, Private Public Partnerships and variety of other options that we’re going to be looking at.”

Gigaba says the issue is being dealt with urgently.

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