AirZim hikes fares 500%

HARARE – Zimbabwe’s state-owned national airline has hiked domestic and international fares by between 200 and 500 per cent as it seeks to stay aloft despite deepening economic problems, official media reported yesterday.

Critics blame President Robert Mugabe’s policies and government mismanagement for a long-running crisis that has left Zimbabwe’s once vibrant economy struggling with shortages of foreign currency, fuel, food and decaying infrastructure. Air Zimbabwe, which has long-haul flights to London, China and Dubai, was last November forced to ground its entire fleet due to fuel shortages.”We realise the increases are substantial but given the high costs for products and services, which has been going up by not less than 150 per cent every month, we had no choice but to review our fares,” Air Zimbabwe spokesman David Mwenga told the Herald newspaper.Mwenga said 90 per cent of the airline’s costs, which included fuel, insurance, spare parts, catering, handling and overflying charges, were all paid in foreign currency, a commodity in short supply in the southern African nation.Passengers flying economy class to London will now pay Z$1,865 million up from Z$358 310, while a trip to China will now cost Z$2,5 million, up from Z$545 000.The Zimbabwe dollar is officially pegged at Z$250 to the US dollar, but the greenback is selling at up to six times the official prices on a thriving black market.Air Zimbabwe was also forced to increase its fares after the central bank halted financial support for the airline.Nampa-ReutersAir Zimbabwe, which has long-haul flights to London, China and Dubai, was last November forced to ground its entire fleet due to fuel shortages.”We realise the increases are substantial but given the high costs for products and services, which has been going up by not less than 150 per cent every month, we had no choice but to review our fares,” Air Zimbabwe spokesman David Mwenga told the Herald newspaper.Mwenga said 90 per cent of the airline’s costs, which included fuel, insurance, spare parts, catering, handling and overflying charges, were all paid in foreign currency, a commodity in short supply in the southern African nation.Passengers flying economy class to London will now pay Z$1,865 million up from Z$358 310, while a trip to China will now cost Z$2,5 million, up from Z$545 000.The Zimbabwe dollar is officially pegged at Z$250 to the US dollar, but the greenback is selling at up to six times the official prices on a thriving black market.Air Zimbabwe was also forced to increase its fares after the central bank halted financial support for the airline.Nampa-Reuters