The Minister for Aviation, Madam Cecilia Abena Dapaah has insisted that government will not commit any money to the establishment of a new national carrier.
According to her, the new airline will be managed under what she terms as a ‘Home Base Carrier’ with private investors managing the company.
Speaking on the Citi Breakfast Show on Tuesday, [19 November, 2017] , Madam Cecilia Dapaah stated that the aviation industry is still a profitable business with the ability to drive economic development.
“Every business has its up and down, as I speak, I can put it out that AWA is making profit. Ethiopian Airlines is making profit.Those that are not making profit have inherent problems that they are experiencing,” she said.
She stated that available statistics shows that Africa is an important route for the aviation industry with huge potential to grow.
“I know from IATA that the growth for Africa for instance is 6 percent per annum, so it depends on where you are,” she stressed.
Madam Dapaah however pointed out that, some national airlines ply unprofitable routes leading to loss of money.
She explained that such business models do not make economic sense, hence cause those companies to collapse.
“I can tell you that some are operating non profitable route, so it depends on where you are. There is also the issue of the national ego and these are the things that drive down profit”
By: Lawrence Segbefia/citibusinessnews.com/Ghana