Madagascar Airlines will receive World Bank funding for its ‘Phénix 2030’ plan, aimed at improving its finances and revitalising the national carrier’s operations.
Announced following a meeting between World Bank representatives and Madagascar’s ministers of transport and finance, funds will be provided upfront by the Magalasy government and reimbursed in the form of a loan from the World Bank. Plans for the funding include addressing immediate financial obligations such as repaying debts to IATA’s Financial Settlement Systems.
The recovery plan, which was announced earlier last month by Madagascar Airlines CEO Thierry de Bailleul, aims to turn around what the carrier described as a ‘critical financial situation’ in the next two years. As part of the ‘Phénix 2030' incentive, the carrier has also cancelled its plan to add E190-E2 aircraft to its fleet, choosing to focus on domestic routes.