Harare, (New Ziana) —The transition of Air Zimbabwe into the oversight of the Mutapa Investment Fund has delivered measurable governance, operational and financial achievements, laying the foundation for long-term recovery, an official has said.
Air Zimbabwe board chairperson Dr Silvanos Gwarinda said this on Wednesday in his statement for the year ended 31 December 2024.
He said the governance transformation has strengthened strategic oversight, enhanced accountability and positioned the airline to operate under a commercially focused governance framework.
“Since Mutapa took over, a diverse and highly skilled board was appointed together with key executives including the Chief Finance Officer, Company Secretary and Risk Officer, significantly reinforcing institutional capacity,” he said.
He said historical financial reporting backlogs were substantially cleared through completion and audit of the 2020, 2021 and 2022 financial statements, enabling the airline to convene its Annual General Meeting in compliance with statutory requirements.
“Quarterly Board and Committee meetings were held consistently, internal audit and risk management functions were strengthened and performance management systems were enhanced through formal performance agreements for executive leadership,” he said.
Dr Gwarada said the balance sheet was strengthened, with total assets increasing by 32.1 percent to US$89.85 million from US$68.02 million, while shareholders’ equity more than doubled to US$40.31 million following successful revaluation of strategic assets and continued shareholder support.
Financial turnaround began with revenue increasing by 42.6 percent from US$7.54 million to US$10.74 million, gross losses narrowing by over 90 percent and net loss reducing by 31.7 percent from US$10.44 million to US$7.12 million.
Dr Gwarinda said these improvements affirm that the turnaround interventions implemented by Management, under the oversight of the Board, are beginning to deliver tangible results.
On operations, he said the addition of a second ERJ145 aircraft during the year improved fleet availability and supported expansion of regional and domestic operations connecting Harare with Victoria Falls, Bulawayo, Johannesburg and Dar es Salaam.
“Passenger traffic was modest with 33,676 passengers transported in 2024, about 1 percent growth, with average network load factor improving marginally to 46 percent, falling short of expectations and below growth recorded across the African aviation market,” he said.
This, he said, underscores the need for continued investment in network optimisation, fleet expansion, enhanced distribution systems and commercial partnerships to improve market competitiveness.
Dr Gwarinda said the cargo business delivered an exceptional performance, with total cargo volumes increasing by 59.4 percent, driven largely by a remarkable 101.4 percent growth in regional cargo traffic.
“The cargo business however, delivered an exceptional performance. Total cargo volumes increased by 59.4 percent driven largely by a remarkable 101.4 percent growth in reginal cargo traffic. This demonstrates the growing importance of cargo operations as a strategic revenue stream and presents opportunities for further expansion as the airline diversifies its business portfolio,” he added.
He said the airline is now focusing its cargo strategy on cargo network optimisation, freighter fleet expansion, integrated cargo information systems and cargo partnerships and alliances.
Looking ahead, Dr Gwarinda said the Board remains optimistic with immediate priorities including continued fleet optimisation, route profitability, commercial growth, operational excellence and strengthening strategic partnerships that will position Air Zimbabwe for sustainable growth.
He said challenges remain including liquidity constraints, ageing fleet infrastructure, foreign currency obligations, rising operating costs and intense regional competition, and
“This outlook is aligned to Chief Executive Officer Eng Edmund Makona’s SOAR strategy to stabilise operations, optimise finances, attract passengers and restore and expand,” he explained.
Under restore and expand, the airline has already restored Grand Reef operations, a service last operated in 1980, and restored the flagship Harare-London Gatwick service as part of broader network rebuilding to facilitate national connectivity, tourism and regional trade.
Earlier, Makona had told the AGM that London is being marketed under Experience Zimbabwe, Fly Direct and is generating positivity from the diaspora and fresh produce exporters who can now get produce to London from Harare in less than 10 hours, with future growth set to see Harare-Beijing and Harare-Dubai on the cards.
Dr Gwarinda exppressed confidence that the governance reforms now in place, coupled with the unwavering commitment of anagement, the board will restore Air Zimbabwe to profitability and rebuild a national airline that all Zimbabweans can once again be proud of.
New Ziana
