The Center for Trade Policy and Development says the decision to relaunch Zambia Airways should be “quarantined” due to the increased risk of failure and the need for fiscal discipline.
CTPD Senior Researcher Bright Chizonde says the global tourism and air transport sector has suffered the most direct negative impact of the COVID-19 pandemic.
He says International Air Transport Association estimated that worldwide flights were 70% lower at the start of April 2020 as compared to the first quarter of 2020.
Mr Chizonde said this drop is projected to continue on account of travel slowdown and regional restrictions adding that the CAPA Centre for Aviation projects that by the end of May 2020, most airlines in the world will be bankrupt.
He said it is therefore clear that the environment is no longer allowing for Zambia Airways to be re-launched.
Mr Chizonde said Government should therefore take actions to “quarantine” this decision adding that CTPD believes that any move by government towards the relaunch of Zambia Airways, such as the delivery of planes and consequent commencement of payment towards the lease of these planes, would reflect a serious lack of fiscal discipline.
He has emphasized that government should stop taking steps towards the re-launching of Zambia Airways saying now is the time to focus all the available public resources on fighting COVID-19 and its economic impact through a meaningful recovery program and investing in sectors that can help stimulate economic growth and ultimately contribute towards reducing poverty.
Yes there is COVID-19 but Zambia Airways was already another of the many failed PF projects either sinking us further into debt or diverting funds from sustaianable and profitable development projects. And to think that the project sponsor is an engineer and PhD holder speaks volumes of the calibre of PF cadres who are running our economy: from grade 7 to PhD, all think the same. Of course excluding Dr Bwalya Ng’andu who I hope will remain untainted by the rot afflicting his colleagues.
It is common sense that such failed ideas can NLP come from pathetic f.ools
Let PF regime sell the presidential private jet even it will be at a loss now, due to prevailing economic conditions but will bring a little back into the depleted central bank reserves. The next action is to claw back all stolen assets ferociously but judiciously in the interest of Zambians.
We told you Brian Mushumba and foooools that you were taking a big risk with taxpayers funds $30 million to be exact plus salaries of those Directors and managers…..there is no way EA is going to go ahead with this deal after this pandemic passes.
Zambia AIrways was never a good plan, AIrline everywhere are struggling how did you expect Zambia AIrways to achieve anything? South African AIrways with more traffic is struggling and you think an Airline can survive here.
You will see BOWMAN and KAIZER ZULU will not comment because they do not have the mental capacity to understand economic issues.
It might have been a good plan but not a priority at the time it was initiated. In Economics there is what is termed “opportunity cost”, the consequences of Govt going for the airline despite less people trekking into Zambia for Tourism and other business is exactly what we are experiencing today. Here is some wisdom for the PF from the Bible since Sumaili does not know her job.
“‘But don’t begin until you count the cost. For who would begin construction of a building without first calculating the cost to see if there is enough money to finish it? Otherwise, you might complete only the foundation before running out of money, and then everyone would laugh at you. They would say, ‘There’s the person who started that building and couldn’t afford to finish it!’”
Luke 14:28 NLT
The current environment is not allowing, or rather conducive , for any airline in the world. Therefore it is very folly and plain childish to attribute the need for recission of our project for an airline on the alleged basis of a lack of or need for fiscal discipline. Such remarks are tainted in political bias to make the government appear irresponsible, and for that reason we will not be taking your concerns further or even tabling them before senior leadership. However, you can take joy in knowing that it will appear on Lusaka times. Surely that has got to count for something. Kz
Director of higher intelligence within Office of President
It is still a good plan and there’s no reason why it should’nt be pursued again in future. The author of this article is thinking short term but such investments are for the long term. The time is obviously coming when airlines will be lucrative again and we don’t want to be left behind.
Drunk3n Nation lead by Corrupt visionless, thieving, Drunk3n Dancing leaders.
So the board and directors and staff of zambia airways which was created in anticipation of the launch have just been getting free salaries and will continue to do until such a time that their contracts come to an end.
Well that is the cost of having misplaced priorities. They even took air hostesses for training just imagine then boom Corona checkmate. $42 million dollars for fire wheelbarrows, the presidential plane, the ambulances that were overpriced, a bloated and function less cabinet, the payments for defaults made on ordered airplanes, cost of training cabin crew for the airline etc. Mr Presido how many ministers and high ranking govt officials have followed suit to date in cutting their salaries by 20% apart from kapata and chitotela? When are the illegal stay in office ministers paying us back our money? Come 2021 El Scorpio will be ready for you.
@kaizar or whatever:
“Director of higher intelligence within Office of President” –
I don’t believe that such a position exists in any country. He must have invented it himself.
LT, please, remove the guy once and for all – let him disappear like you did with the woman with her Scotch partner,
or the crazy guy with his white Swiss wife – etc.etc.
Byebyebye!
Pay retirees/pensioners at PSPF. Forget about Zambia Airways there is coronavirus, continue with ethiopian airways. ZA is a failed project and tax money waster. pay retirees.