Mozambique: All options on table as LAM restructuring looms

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Mozambique: All options on table as LAM restructuring looms

6:04 CAT | 31 Jan 2023

Photo: Ministério dos Transportes e Comunicações

The government will take a decision on the strategic options for the restructuring of Linhas Aéreas de Moçambique (Mozambique Airlines – LAM), Minister of Transport and Communications, Mateus Magala announced this Friday (27-01) at the end of a working visit to the company.

Minister Magala said that the task of assessing the company’s real situation and proposals for strategic options for the restructuring of the company had already been concluded, with the analysis and validation of the results of this work being submitted for the government for a decision on which is the most appropriate to the company’s goals.

Without revealing the conclusions of the study carried out, Minister Magala said that all options are on the table, and a decision was to be taken on the option to be implemented in order to make LAM a company to make all Mozambicans proud, through its efficiency, while generating resources for its sustainability and financial benefit to the state.

Minister Magala visited LAM and Aeroportos de Moçambique (Mozambique Airports – AdeM) to witness at first hand the functioning and challenges of these two state companies.

At AdeM, the minister said that he had witnessed progress in reforms already underway, from the rehabilitation and maintenance of infrastructure to customer service, among other aspects, with investments being made to improve passenger experience such as air conditioning in boarding and disembarking areas and the consolidation of electronic visa issuance.

Among its many challenges, Minister Magala highlighted the need for AdeM to prioritize preventive maintenance of infrastructure and equipment, and mitigate the costs of the frequent replacement and training of staff.