SOUTH African Airways (SAA) still has about R1 billion in revenue from ticket sales stuck in Zimbabwe as the southern African country continues to battle a liquidity crisis.
This is according to a report by the Auditor-General, which forms part of the state-owned airline’s 2017/18 financial statements tabled in Parliament in March.
The financial statements weren’t released before because the auditors withheld their audit opinion, as SAA’s status as a going concern was at significant risk. SAA went into business rescue in December 2019.
SAA earned the money from tickets it sold in Zimbabwe, but has been unable to recover it.
“SAA was unable to repatriate monies owing for ticket sales amounting to approximately US$87.9 million (about R1.285 billion) due to the liquidity crisis in Zimbabwe. This amount was impaired in full in the 2019 financial year as it was doubtful that the funds would be collectable,” states the AG’s report.