The Malagasy Minister of Transport and Tourism, Ulrich Andriatiana, says his government has held talks with foreign carriers over their possible entry into the island's domestic market.
Speaking to Reuters, Andriatiana said opening up Madagascar's local market to foreign carriers would held reduce the country's dependence on ailing national carrier, Air Madagascar (MD, Antananarivo). As the summer high season presses on, the country's tourism sector has suffered significant losses as a month-old strike by Air Madagascar workers shows no sign of abatement.
With the situation getting progressively worse, the airline's board including Managing Director, Haja Raelison, acquiesced to workers' demands last week resigning en-masse. As it stands, a new interim team of six directors has been appointed to guide the airline while a new MD is found.
Despite Raelison's dismissal, employees have refused to return to work demanding settlement of back wages.
Antananarivo has offered to contribute EUR500,000 (USD550,000) to help Air Madagascar resume operations though this is seen as insufficient given that the strike is already costing the airline USD500,000 in daily losses.
