This archive report was first published on 13 June 2020.
Published on June 13, 2020, Air Namibia, Namibia's state carrier, is facing possible liquidation following a string of losses and government bailouts worth approximately $485 million over the past two decades.
President Hage Geingob has suggested that the airline be liquidated, stating, "We have a serious problem and we must liquidate Air Namibia. It is not making any profits, and it is just being bailed out. We must restructure it," as quoted by Bloomberg.
However, the President also proposed alternative measures, including restructuring and rejecting proposals to cut routes.
Unions in the country have strongly opposed the liquidation of Air Namibia, calling for an investigation into the airline's management practices before any liquidation proceedings.
According to Ndapewa Amupanda, Chairperson of the Shop Stewards Committee, "The airline, for the past years, has failed to account for money allocated to it by not producing audited financial reports as requested by the act. Therefore, we firmly ask for a probe into the airline's management before the liquidation."
Air Namibia is not alone in its struggles, as several African airlines, including Air Mauritius, have sought government rescue packages. Globally, the airline industry is facing significant challenges due to the pandemic, with the German, Austrian, and French Governments providing bailouts to Lufthansa, Austrian Airlines, and Air France-KLM, respectively.
