Sri Lanka Goes Bankrupt, Their Airline Actually Plans to Expand Planes
COLOMBO, KOMPAS.COM – Sri Lankas national airline company losers reveal plans to lease up to 21 additional aircraft on Thursday (14/4/2022).
This announcement in fact came only two days after the Sri Government Lanka declares bankruptcy and defaults on foreign debt worth 51 billion US dollars (Rp. 732 trillion).
The archipelagic nation is in the grip of a severe economic downturn most painful since independence in 1948, with severe shortage of essential items and power outages regularly causes widespread misery.
FOOD BUYED
Massive protests have called for the resignation of the government, which has requesting Sri Lankans abroad to send cash to home to help pay for essential imports.
Despite the crisis, the state-owned SriLankan Airlines has announced plans to expand its fleet from 24 to 35 aircraft in the next three years and replace some aging jets.
SriLankan Airlines has issued four requests for proposals to lease up to 21 aircraft to support business strategy the long term, said SriLankan Airlines in a statement short, quoted from AFP.
The announcement came after the government suspended all payments its foreign loans, ahead of negotiations for restructuring debt with the International Monetary Fund (IMFP next week.
Sri Lankas national carrier doesnt say what the plan is to finance the lease, with the balance sheet showing a debt of 1.7 billion US dollars and forward-looking losses of 1.56 billion dollars US in March 2020.
ANGRY FOR PATIENCE
It also happened on the same day that the rating agency International Fitch lowered US$175 million of bonds that issued by the airline from C to CC, indicating that operator almost default.
Fitch says the airlines new rating, on debt maturing in June 2024, in line with Sri Lankas announcement of bankruptcy.
