Finance Minister Malusi Gigaba Picture: Reuters

CAPE TOWN - The new South African Airways (SAA) board will not only bring new energy and talent but also new expertise to the company, according to Finance Minister Malusi Gigaba.

Gigaba made a statement to the media on Thursday, reassuring South Africans that the sate owned enterprise will be under good leadership. 

The minister announced that Dudu Myeni will be replaced by businessman JB Magwaza as board chairperson. The Organisation Undoing Tax Abuse (OUTA) has welcomed the Myeni decision.

OUTA believes that Myeni is at the core of SAA’s problems, the company said that she also has no ability as a director and should not be on any board. 

READ ALSO: OUTA calls for an investigation into Dudu Myeni

New to the board is Nolitha Fakude, who will serve as deputy chairperson. Parliament members have approved all of the six new board members. Moreover, cabinet has also given a thumbs-up to the five non-executive directors.

Gigaba is hopeful and said that with the help of newly appointed CEO, Vuyani Jarana, the board will provide stability. SAA is technically insolvent, Democratic Alliance deputy finance spokesperson Alf Lees said that Myeni’s is welcomed.

Lees then went on to ask how the state carrier would get R10 billion in order to stay alive. “It’s an unnecessary strain on the fiscus of South Africa and very unwise expenditure.”

-BUSINESS REPORT ONLINE