Mboweni: No emergency funding for SAA

JOHANNESBURG – Finance Minister Tito Mboweni has listed several potential funding sources for South African Airways that don’t include emergency provisions.

His ideas are contained in an answering affidavit to the Democratic Alliance.

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The opposition party sought an urgent application in the High Court, to prevent Section 16 of the Public Finance Management Act from being used for so-called emergency funding of SAA.

The airline’s business rescue plan requires government, or a strategic equity partner, to provide an additional R10.3-billion.

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But Mboweni says the notion that the National Revenue Fund would be used, is false.

He says the government is considering several options to mobilise funding, including approaching equity partners, and institutions for the investment of pension funds.