GVT INJECTS K2BN IN MALAWI AIRLINES

The Malawi government has disclosed that it has completed its 20 percent investments in the newly established Airline Limited, a consortium jointly owned with Ethiopian Airlines.

Kassim Geresu, Chief Executive Officer for the airline said the government has injected up to $4m, which is about K2bn in the company.

“Out of the 51 percent current the government is investing 20 percent which is around $4m. Now we will start by the working capital invested and the two airplanes provided by the Ethiopian Airlines”, he said.

The Malawi government holds 51 percent of the shares of which 31 percent will be sold to local business operators by the end of the year 2014.

Private Partnership Commission Chief Executive Officer, Jimmy Lipunga said if government will not raise the required 31 percent public offer within the agreed time, the State will remain the Major Shareholder.

The Ethiopian Airlines Limited, which brought into the business a Boeing 737-800 and a Bombardier Q400, holds 49 percent shares.