Qantas stops selling tickets in Zim

Qantas Airways planes sit on the tarmac at Sydney's Kingsford Smith International Airport

Qantas Airways planes sit on the tarmac at Sydney's Kingsford Smith International Airport

Published Apr 12, 2017

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Harare - Qantas Airways told travel agents in Zimbabwe to

stop selling tickets for its flights after the International Air Transport

Association warned it’s getting harder to move funds out of the country,

according to a circular sent by the Australian airline to agencies and seen by

Bloomberg.

The carrier is owed a “substantial” amount by Bank

Settlement Plan Zimbabwe, the system that IATA uses to transfer local ticket

revenue to airlines, according to the circular from Michi Messner, Qantas’s

regional manager for Africa.

“We’ve been advised by IATA that the situation with the repatriation

of funds out of Zimbabwe is worsening,” she wrote.

Messner confirmed by phone from Johannesburg on Tuesday

that she had sent the letter, referring further questions to IATA.

The industry body wouldn’t immediately comment.

The move is an early sign that airlines may be scaling

back operations in the southern African country, which is battling a shortage

of banknotes that’s forced lenders to cap customer withdrawals and seen

retailers offer large discounts for cash payments. Zimbabwe has mainly used the

dollar since economic mismanagement and runaway inflation rendered its own

currency worthless eight years ago.

Read also:  Heavy rains damage Zimbabwe's infrastructure

Other international airlines flying into the country

include Emirates, Ethiopian Airlines, South African Airways and Kenyan Airlines.

Civil Aviation Authority Zimbabwe is aware of the

circular from Qantas, Managing Director Charles Chawota said by phone, adding

that the currency shortage is a government issue.

International carriers including United Continental

Holdings halted or suspended operations in Nigeria last year after that

country’s own shortage of foreign-exchange reserves made it hard to recoup

revenue.

Zimbabwe travel agents may sell tickets for Qantas

flights through a South African partner, according to the airline’s letter.

BLOOMBERG

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