Tabling the N.dollars 47,6 billion National Budget in the National Assembly on Tuesday, Minister of Finance Saara Kuugongelwa-Amadhila said the money will also be used to rehabilitate railway infrastructure, as well as the management, development and maintenance of the national road infrastructure.
“The national airline receives additional support to maintain its operations. I must emphasise that the perpetual lifeline extended to Air Namibia is a cause of national concern. A lasting solution is warranted,” she indicated, without indicating exactly how much the airline will receive this financial year.
Earlier this month, Finance Permanent Secretary Ericah Shafudah indicated that the airline will receive an amount of N.dollars 164 million during the 2013/2014 book year, which starts on 01 April 2013.
However, the airline’s management said it would need an additional N.dollars 258 million to comply with its other financial obligations.
The management was expected to present a rescue plan to the Cabinet Committee on Treasury so that the members can be informed about possible solutions for the airline.
Government allocated an amount of N.dollars 822 million to Air Namibia to execute its business plan during the 2012/2013 financial year, but the Ministry of Works and Transport had to make an additional N.dollars 257 million available to cover operational costs.