Fastjet pins hopes on Zimbabwe currency stability
By Guest Guest, Jun 27, 2019
Harare- Regional airline operator Fastjet has said it expects to be profitable in the full year period to December 2019 helped by demand in Zimbabwe and South Africa.
CEO Nico Bezuidenhout told Reuters that protability going forward depends on currency stability in Zimbabwe. “the variable for us is currency. Zimbabwe currency is still a risk” Bezuidenhout said adding that the company’s profit projection is cautious.
On Monday June 24 the government of Zimbabwe scrapped the multicurrency regime in rushed moves which were presumably enforced to stem a freefall in the RTGS$.
The RTGS$ was consummated in February 2019, when the government patially floated the exchange rate between the USD and the local currency equivalents.
Fastjet operates a low cost airline plying the southern African region that is South Africa, Mozambique and Zimbabwe.
In 2018, the company went into technical insolvency after and at one time highlighted that it had cash enough to cover operational demands for only 24 days. It however highlighted that much of its cash was trapped in Zimbabwe which since then has been suffering from an acute forex crisis.
The company however successfully raised capital which helped arrest the crisis. it however went on to divest from its home country which is Tanzania as trading conditions tightened.
Equity Axis News
Top Stories
Tigere REIT Caps Transformational 2025 with Yield-Boosting Acquisitions and Near-Doubling of Profits
In a year of resilient growth for Zimbabwe's nascent REIT sector, Tigere Real Estate Investment Trust emerged as a standout performer, completing two strategic retail acquisitions in Q4 2025 that pro
1 hour agoGreenfields Feeds the Bottom Line: Food and Entertainment Are Rewriting Zimbabwe's Retail Story
Tigere's entire portfolio operates on US dollar leases, which insulates its rental income from local currency fluctuation and provides investors with predictable returns. For the 2025 financial year,
1 hour agoCaledonia Secures Bank Backing for Bilboes as Production Base Strengthens Amid Gold Bull Run
Caledonia Mining Corporation Plc has appointed Stanbic Bank Zimbabwe and CBZ Bank as co-lead arrangers for an interim funding facility of up to US$150 million, marking a significant step in the financ
6 hours ago
