Here is another project where Zambia is foolishly putting money in sewer

Here is another project where Zambia is foolishly putting money in sewer

The Zambian government and Ethiopian Airlines have formalized an agreement to form Zambia Airways. It is a useless non starter that will benefit Ethiopia and not Zambia. Zambia will only lose money on this useless venture motivated by corruption. 

Zambia’s Industrial Development Corp. (IDC) Group CEO Mateyo Kaluba, and Ethiopian Airlines’ Group CEO Tewolde Gebremariam signed documents in the Zambian capital, Lusaka, on 19 August 2018 setting out their positions as shareholders of the new national carrier. Even if Zambia is the majority shareholder on paper, Ethiopia will control the airline in terms of management. Zambia will pump in most of the money.

On paper, Zambia through IDC will hold 55% of the carrier’s shares, with Ethiopian Airlines holding 45% but making all the decisions. Initial investment in the new national airline will be $30 million. Most of this money will come from Zambia while the benefits will go to Ethiopia. Ethiopia Airline is the biggest carrier in Africa and competes favourably with giants such as British Airways, AirFrance, Qatar etc then you york it  together with Zambia which does not even have helicopters let alone expertise?

It is claimed that Zambia Airways will launch operations with local and regional routes; long-haul sectors to Asia, Europe and the Middle East will be added later, but these routes are already operated by Ethiopian Airlines.

Ethiopian Airlines happily said the ‘investment’ in Zambia Airways is consistent with its Vision 2025 Multiple Hubs Strategy in Africa. THIS IS THE TRUTH not that hogwash about helping Zambia.

“As an indigenous and truly Pan-African airline, we believe that African carriers will only get their fair share of the aviation industry and the African market through partnerships with other African carriers,” Ethiopian said. This is not true. Ethiopian Airline is a business whose sole aim is to make profit not to help competitors. Only a fool can believe otherwise.

The IDC said its investment represents a commitment to deepening and strengthening Zambia’s industrialization. By pumping money in already perfected companies???? It that expects establishing Zambia Airways will spur growth in the tourism sector. They should read the aviation history of Zambia before talking nonsense. This, in turn, would have a significant multiplier effect on job creation through businesses in the aviation supply chain, such as hotels, restaurants and travel agencies. That does not need

“We look forward to growing this partnership from strength to strength and seeing Zambia Airways take to the skies this year,” the IDC said. Taking to the sky will clearly be the only achievement but then the project will crash land in no time.  Ethiopian Airline will remain intact while Zambia will remain in more debt.

 

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