The Prime Minister of Mozambique, Adriano Maleiane, reaffirmed, this Thursday, November 3, in parliament, in Maputo, the Government’s commitment to find better strategies that restore the sustainability of the flagship airline, LAM – Linhas Aéreas de Moçambique.
“The Government’s commitment is to continue the process of recovery in the State’s business sector, with greater focus on the financial, operational aspects, and evaluation model based on the added economic value, in the managers of public companies and majority-owned companies”, said the minister, quoted by a national television channel.
In the recent past, several analysts already predicted a possible privatization of LAM and Tmcel (Telecomunicações de Moçambique) to rescue them from the financial imbroglio, and said that this would reflect the harmful management of the directorates.
The Center for Public Integrity (CIP) describes the two companies as technically insolvent, representing a high risk to public accounts as they are surviving on capital injections and State guarantees.
Last August, the Minister of Economy and Finance, Max Tonela, admitted that LAM and Tmcel need a restructuring to enter the sustainability path (LINK related news). “We have been discussing the case of the restructuring of LAM and Tmcel”, he emphasized at the time.
The changes in the two companies, he added, are part of a restructuring of the State’s business sector (SEE), aimed at the financial recovery of those facing difficulties. A decision on the future of the two companies could come next December, according to a source close to the process.
Regarding LAM, “the positive operating results recorded in 2021 encourage us to continue with the operational restructuring process