Renewed Debate Over the Future of South African Airways Amidst Reported Profit

As South African Airways (SAA) prepares to present its annual report to Parliament, discussions about the airline’s viability have reignited, with some stakeholders advocating for its closure or privatization.

In February 2026, SAA announced a net profit of R155 million for the 2024/25 fiscal year, marking a rare positive financial outcome for the state-owned carrier. Despite this, skepticism remains regarding the authenticity of these figures.

Economic Expert Questions Profitability Claims

Renowned economist Dawie Roodt has expressed doubts about the reported profit, urging lawmakers to conduct a thorough examination of the airline’s financials during the parliamentary session. He cautions that the headline profit may not reflect the true economic reality.

“What they are telling us about what is really going on – I’m not sure that the two are the same thing. I really hope parliamentarians will rigorously question SAA’s executives. The outcome should either be to shut down the airline or sell it. For many years, tens of billions of rands have been lost, essentially throwing good money after bad. Although they report a so-called profit, upon closer inspection, I’m not convinced it’s genuine.” – Dawie Roodt

Historical Context and Financial Challenges

South African Airways has struggled for over a decade with financial instability, operational inefficiencies, and management controversies. Despite multiple government bailouts and restructuring efforts, the airline has consistently faced mounting losses, contributing to a national debate on whether continued investment is justified.

Recent data from the South African Department of Public Enterprises indicates that SAA has received over R30 billion in state support since 2010, yet profitability remains elusive. Comparatively, other African carriers such as Ethiopian Airlines have demonstrated sustainable growth by adopting aggressive expansion and modernization strategies.

Looking Ahead: Potential Outcomes for SAA

With Parliament’s scrutiny imminent, the airline’s future hangs in the balance. Options on the table include full privatization, strategic partnerships with international airlines, or complete liquidation. The government’s decision will likely weigh the socio-economic impact of SAA’s operations against the financial burden on taxpayers.

Industry analysts suggest that a transparent audit and clear restructuring plan are essential to restore confidence among stakeholders and ensure any future operations are economically viable.

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Lulama Matya