Air Burkina: 3.5 bln FCFA state support
Air Burkina should soon receive financial aid from the Burkinabè state. According to the finance bill amending the 2020 finance law, sent by the Minister of Economy, Finance and Development, Lassané Kabore, to President Roch Marc Christian Kabore, dated June 15, 2020, it is planned an allocation of 3.5 billion cfa francs ($ 6,003,347) to the Burkinabè national company. This financial support should enable it to respond to the consequences of Covid-19.
Even if this envelope is not negligible, it is still largely insufficient to respond to Air Burkina’s financial difficulties. The company is dragging an estimated debt of $ 23 million. It is in the process of being negotiated with a private American operator, with a view to replenishing its capital. According to its managing director, "negotiations are very advanced with African Global Development for the partial takeover of the company".
"We had to sign the agreement, but this process was stopped by the Covid-19 pandemic," says Beacon Sanou. It was this same health crisis that forced the company to lay off its staff on technical unemployment since May 15, for three months. The company therefore could not restart operations until at least the second half of August. These operations have been suspended since March 29 of the current year.
Even if this envelope is not negligible, it is still largely insufficient to respond to Air Burkina’s financial difficulties. The company is dragging an estimated debt of $ 23 million. It is in the process of being negotiated with a private American operator, with a view to replenishing its capital. According to its managing director, "negotiations are very advanced with African Global Development for the partial takeover of the company".
"We had to sign the agreement, but this process was stopped by the Covid-19 pandemic," says Beacon Sanou. It was this same health crisis that forced the company to lay off its staff on technical unemployment since May 15, for three months. The company therefore could not restart operations until at least the second half of August. These operations have been suspended since March 29 of the current year.
Source: newsaero
