Delta, United, Emirates, KLM, etc would all have bailouts from their respective home countries. I am not sure Air Peace which suspended operations on 27 March 2020 in Nigeria due to Covid-19 will be lucky. In short, it is Nigeria that needs bailouts, practically implying that it cannot help many firms. Just a few days ago, the government called the Sovereign Wealth Fund for some cash – go figure, we need to survive today before those future generations!
This paralysis looks really frightening because most fintechs will struggle also. Yes, if your code powers payments for hotels, airlines, etc and they are not in business, your revenue goes.
Air Peace is West Africa’s largest airline. And if we agree that supply chain is the heart of business, we can extrapolate that Air Peace is strategic to the Nigerian economy. The question then is this: what happens to Air Peace if it cannot get a bailout from losses? And what happens to the Nigerian economy if other airlines (Aero, Azman, etc) follow along on the struggle path?
SUSPENSION OF OPERATIONS
Air Peace announces the suspension of all flight operations come Friday as part of concerted efforts being made to stop the spread of the pandemic, Coronavirus.
It is with a great sense of responsibility that we have decided, in the best interest of our nation, our passengers and workforce, to suspend scheduled flight operations for 23 days effective 23.00hrs on Friday (an hour before midnight on Friday) the 27th day of March, 2020 as a result of the COVID-19 pandemic.
This difficult decision was reached in order to support the efforts of the Federal Government and other stakeholders in curbing the spread of this virus in our nation, while also protecting our esteemed passengers and staff from becoming victims of the pandemic.