South Africa seeks private finance to rescue SAA, Mboweni says

South African Finance Minister Tito Mboweni rejected accusations from the biggest opposition party that he plans to use state funds to rescue the bankrupt national airline, saying a range of funding options that would source money from the private sector are being considered. In an answering affidavit to a case filed by the Democratic Alliance in South Africa’s High Court aimed at preventing Mboweni from using government money to meet the 10.1b rand ($611.9m) the administrators of South African Airways say is needed, the minister laid out a range of options. Those include seeking money from “strategic partners” or private equity as well as tapping pension funds and global financial institutions, he said. Mboweni went on to say that the announcement had committed government to “mobilize” funds for SAA, not provide them. “The Department of Public Enterprises media statement stops short of reflecting a commitment by government to fund the implementation of the business rescue plan,” Mboweni said. “It clearly conveys government’s position, namely that it is considering various ways within which to mobilize funding.” <br/>