Gigaba: New SAA board to bring talent, expertise & energy

Finance Minister Malusi Gigaba says that businessman JB Magwaza will replace Dudu Myeni as board chairperson.

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

CAPE TOWN - Finance Minister Malusi Gigaba says that the new South African Airways (SAA) board will bring talent, expertise and energy to the airline.

He confirmed sweeping changes to the board in a statement issued a short while ago.

Gigaba says businessman JB Magwaza will replace Dudu Myeni as board chairperson, with new member Nolitha Fakude to serve as his deputy.

Cabinet approved the appointment of six new board members when it met on Wednesday and endorsed the five non-executive directors who’ll continue to serve.

The minister says that he’ll have a special meeting with the new SAA board on 3 November, when the appointments take effect.

Gigaba says that he hopes that, together with new chief executive officer Vuyani Jarana, who is expected to begin work next month, the board will bring financial stability to SAA which is technically insolvent.

While Myeni’s departure has been welcomed, Democratic Alliance deputy finance spokesperson Alf Lees says the question now is where the R10 billion SAA needs to stay aloft will come from.

“It’s an unnecessary strain on the fiscus of South Africa and very unwise expenditure.”

Gigaba is expected to give details of the bailout when he delivers his first medium-term budget policy statement parliament Wednesday.