Surinam Airways to be privatised
By Ray Chickrie - Caribbean News Now contributor PARAMARIBO, Suriname -- During the budget debate in the National Assembly of Suriname a few weeks ago, it was revealed that state-owned Surinam Airways (SLM), which has been losing money for decades, will be privatized within the next two to three years. This unexpected announcement caught many by surprise in parliament but it was evident that the government has no road map to privatization from what transpired in parliament. The government has yet to lay out a privatization plan with specific goals and criteria Parliamentarians accused the government of repetitive promises of privatizing the airline. They also hammered the government for information on the performances of state-owned companies, many which are unprofitable, running at a loss and being subsidized by the government. The lack of transparency is at the centre of an ongoing discussing in Suriname today amid an economic recession. This has led to many cuts in government spending and the urgency to private unprofitable state-owned companies like SLM and Telesur. The government of Suriname has practiced a policy of protectionism to insulate SLM from competition, at the expense of attracting more airlines and offering competitive airfares for Surinamese citizens. [...] “The government’s policy is to end Suriname’s isolation by allowing as many airlines as possible to fly as frequently as possible,' Brunings said. Brunings said, “Policy has always been focused on protecting the airline, and maintaining the small market of flights to and from the Netherlands.” Meanwhile on Monday, in a major development, Ewald Henshuys, the director of SLM, and the entire board members were fired by President Desire Bouterse for "many blunders, including the purchase of the latest Airbus 340 aircraft." According to Bouterse, a special team to run SLM and the Airbus 340 will be created. SLM has a history of having an inflated staff, a practice of nepotism, a lack of a vision and poor management that is always government appointees. [...] One Surinamese parliamentarian said that SLM should seek a reputable international partner like Emirates, Qatar, Etihad or Turkish Airlines that can inject capital and expert skills to turn the airline around. Suriname, the parliamentarian said, can serve as a hub between North America, the Caribbean, Africa and South America. Such a move, and the expansion of the airport, can actually see the realization of the tourism industry of Suriname. | |
Source : caribbeannewsnow.com/