Contributor Cornelius Wa Mapira
The MCP and UTM sponsored Demonstrations by Timothy Mtambo and HRDC targeting the country’s ports of entry planned for August 26th to 30th will cost Malawi government lose revenue in excess of K1 billion.
Department of Civil Aviation deputy director (Regulation) James Chakwera told the local media. It is very sensitive to disruptions such as cancellations and delays, the cost could even be higher than K1 billion,” he said.
Chakwera said the aviation sector is also inter-connected to many other sectors, making the ripple effect huge.
“The K1 billion estimation makes sense,” he asserted. “There is a lot of domino effects at play. For example, there is also high risk of revenue losses in the event of vandalism at our recently renovated airports.”
The development would see airliners plying the Malawian aviation market lose in excess of K500 million in ticket sales alone, and about K100 million airport service revenue, during the period.
The K1 billion rough approximations comprise of consolidated revenue estimates for all commercial passenger airliners estimates of revenue acquired by the airports managers, Airport Development Limited (ADL) and the Department of Civil Aviation (DCA) through airport fees and other commercial activities.
The estimate also included potential revenue losses on cargo flights, food, and insurance, and in allied sectors such as land transport and hospitality. Impact on tourism has not been included in the rough figure.
Let’s build Malawi and deny demonstrations