Royal Air Maroc Faces $350 Million Loss Amid Coronavirus Travel Slump

The many measures taken by the public carrier to face the coronavirus crisis have not completely spared it. The prolonged closure of borders continues to have a strong impact on its projections.

Contrary to the forecast of nearly 7 billion in turnover announced at the end of October, the company should expect 6 billion, a significant decline compared to the record of 16 billion recorded in 2019, reports l’Economiste.

As for the 6 billion DH financial support from the government, Royal Air Maroc plans to inject 3.6 billion to increase its capital and 2.4 billion as state-guaranteed loans.

Furthermore, the 2021 finance bill provides for allocating an amount of 1.17 billion dirhams to Royal Air Maroc, compared to 700 million dirhams in 2020. According to the National Treasurer, this support will be gradually granted depending on the level of achievement of the objectives set in the rescue plan. This operation will be overseen by a steering committee, the Finance Minister assured at the press conference in early August.