Transport and Communications Minister Brian Mushimba has disclosed that an estimated US$500 million of revenue from air ticket sales will be retained in the domestic economy once Zambia Airways (2014) Limited hit the skies mid 2018.
Currently, Zambia is being serviced by more than ten foreign carriers transporting 1,500,000 passengers per annum and accruing in excess of approximately US$1.5 billion through ticket sales per annum.
Mr. Mushimba says once the national airline restarts; Zambia has the potential to earn up to 50 per cent of the US$1.5 billion revenue generated from air ticket sales.
Mr. Mushimba says the aviation industry is one of the biggest industries in the country generating in excess of US$1.5 billion in revenue from air ticket sales per annum.
He says Government through the Industrial Development Corporation (IDC) will hold 55 per cent in Zambia Airways (2014) Limited and 45 per cent by Ethiopian Airlines, the strategic partner.
Mr. Mushimba says the two strategic partners will be required to make a shareholders contribution to the national airlines equal to US$30 million for the first year to cover immediate start-up costs.
He says Government’s equity contribution at 55 per cent will be US$16.5 million to be allocated to Zambia Airways (2014) Limited. Ethiopian Airlines will contribute US$13.5 million.