EgyptAir Eyes EGP 7 Billion Gov’t Financial Aid

EgyptAir Eyes EGP 7 Billion Gov’t Financial Aid

Egypt's flag carrier EgyptAir intends to obtain about EGP 5 billion to EGP 7 billion from the government this year, Ahram Online cited Chairman and CEO Rushdi Zakaria on March 22nd.

 

The sought financial assistance aims to help the firm pay salaries, outstanding loans, and aircraft lease fees.

“EgyptAir did not resort to layoffs or reduce salaries as a result of the pandemic,” the news portal quoted Zakaria as saying during the Arab Aviation summit in the UAE.

He confirmed that there is no plan to reduce the size of the current fleet or resort to layoffs, noting that it would be hard for the business to continue without the government's financial support.

EgyptAir currently spends EGP 500 million each month, yet it operates only half the number of the flights prior to the COVID-19 pandemic.

There are current talks between EgyptAir and Sudan Airways to work on a joint project to expand in Africa. This comes in line with collaboration between the Egyptian airline and Ghana under the name Air Ghana that will be launched within two months.

“EgyptAir is currently studying fully acquiring flights between Cairo and Tel Aviv from its subsidiary Air Sinai,” Ahram Online cited the chairman.

EgyptAir received EGP 5 billion in