SA_F_2015_04_

20 FlightCom Magazine

Airlines

Words: Guy Leitch

South African Airways (SAA) is the target of much vitriol by those who say that the state has no

business running an airline. They point out that SAA has cost the taxpayer more than R20 billion in

subsidies over the past 20 years.

In this briefing we bring you two views: Leon Louw of the Free Market Foundation argues that

SAA should just be liquidated and sold off to the private sector. However, some at SAA argue for

continued state ownership by pointing out that it performs an essential role in South Africa’s

economic development, which justifies the billion Rand a year taxpayer subsidy many times over.

SHOULD

SAA BE LIQUIDATED?