SriLankan to be sold? ; Final decision before Nov. 09th | Breaking News

The government is considering a transfer of the national carrier – SriLankan Airlines to the private sector.

SriLankan Airlines currently has five divisions, out of which the ground operations division and the cargo division generate around US $ 100 million a year in revenue.

However, the airline is incurring losses due to the increase in aircraft lease payments, fuel costs and other expenses, reports say.

Lease payments for each aircraft costs between USD 5-8 million a month and fuel costs are said to be 25% of the total cost.

As the losses of SriLankan Airlines are becoming a huge burden to the country, the government has decided to retain a certain number of shares and transfer the rest to the private sector.

It is learned that a decision in this regard is to be taken by Nov. 09th.

However, participating in yesterday’s (06) inauguration of 1,500 completed roads, President Gotabhaya Rajapaksa said that the policy change he had pledged through his manifesto – ‘Vistas of Prosperity and Splendour’, would be implemented soon.

Explaining its State Enterprises Management Policy, the manifesto had said, ” We are against the privatization of State owned enterprises. We will look at the existing management and capital structures of the SOEs and make them efficient so that they are not a burden to the people of this country.”

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