Sri Lanka cabinet clears for state support for Coronavirus-hit SriLankan Airlines

RESCUE FLIGHTS: SriLankan Airlines is operating rescue flights for stranded citizens and other passengers.

ECONOMYNEXT – Sri Lanka’s cabinet of ministers had cleared the proposal to support state-run SriLankan Airlines which had been badly hit by the Coronavirus crisis.

“The Cabinet of Minister approved a proposal by Aviation Minister Prasanna Ranatunga to give government assistance to SriLankan Airlines,” Minister Gunewardene said.

He did not disclose an amount.

SriLankan Airlines is over 95 percent owned by the government and it has been given credit lines from state banks.

Most of the fleet is grounded but it is operating rescue flights and carrying cargo.

SriLankan Airlines had cut salaries and had asked for suppliers credit and delays in lease payments, Chief Executive Vipula Gunatilleka has said.

Many airlines including private flag carriers have got state bailout packages during the Coronavirus crisis. (Colombo/Apr30/2020)