The government of Tanzania has revealed it will allocate a significant amount of 2.1 Trillion Shillings (USD 905.56 Million) planned for the transport sector towards revamping the national airline, Air Tanzania. A reported 450 Billion shillings (USD 194 Million) has been earmarked for the National Airline
This was announced as transport minister, Leonard Chamriho tabled a budget alongside key priorities for the 2021/22 financial year to the country’s national assembly
A new 5 year development plan will see the ministry will improve the aviation sector as one of its flagship projects.
It was revealed earlier this year that Air Tanzania faces an accumulated debt burden of USD 64.6 Million and new president Samia Hassan pledged to rescue the Airline as a priority in her first speech to parliament with debt relief and lifting of taxes and levies forming part of that agenda
In his address to the national assembly, transport minister Leonard Chamriho noted:
“The government is aware of the high operational costs at ATCL which has been causing loss to the company, therefore we are taking various steps to reduce operational costs as well as clearing debts”
He also added that one of the Airline’s aircraft, a Dash8 – Q300 had been transported to Malta for a 6C check and its repairs would be completed in June 2021
The government will construct 10 airports across the country as part of its aviation infrastructure development plan and in addition to this it will allocate 32.2 Billion shillings towards the construction of the new Msalato Airport located in the capital, Dodoma