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Business News of Friday, 26 February 2021

Source: www.ghanaweb.com

There will be conflict of interest if Ghana, Egypt Air partnership pushes through – Shawn Mendis

Shawn Mendis, Aviation expert and former Chief Operations Officer for African World Airlines Shawn Mendis, Aviation expert and former Chief Operations Officer for African World Airlines

An Aviation expert and former Chief Operations Officer for African World Airlines Shawn Mendis has stated that government must be cautious in its decision to partner with Egypt Air for a national airline for Ghana.

“There is definitely going to be some level of conflict of interest whether it is acceptable to the government of Ghana or not. Egypt Air itself is a government-owned Airline, so while you may be saying the government of Ghana will not be interfering in the airline operations, if Egypt Air is your strategic partner, that means the government of Egypt is going to be calling the shots.

"Is that acceptable to the Government of Ghana, I don’t know but that is something for the Parliamentarians and Ministers to decide. Egypt Air itself is in a dire financial condition right now, they are in need of a government bailout to continue operating” he said.

The decision to partner other stakeholders was reached to boost the nation’s airline carrier since the industry seeks to expand its operations in the come years.

Egypt Air is reported to have been chosen as the preferred partner in the establishment of a new home base carrier for the country.

According to Aviation Ghana, the Aviation Ministry settled on the Cairo based Airline after extensive scrutiny by the committee put together by the government to search for a strategic partner.

The Aviation Ghana news portal maintained that Egypt Air’s proposal can be described as much better than the initial deal put forward by Ethiopian Airlines.

An MOU is expected to be signed between the two parties in the coming days.

Ghana in 2018 signed an MOU with Ethiopian Airlines to establish a national carrier. The agreement was expected to see Ethiopian Airlines contributing funding, equity, aircraft and management services.

Meanwhile, the former Aviation Ministry which has now merged with the Transport Ministry is expected to carry out its operation to full capacity.

The Minister-Designate Kwaku Ofori Asiamah during his turn at the Appointments Committee indicated that he will ensure that, some local airlines will be supported to operate to boost more revenue for the country when he is given the nod.