The company Linhas Aéreas de Moçambique (LAM) has an accumulated debt of about seven billion meticais, which puts it in an imminent situation of bankruptcy.

Currently, the national flag carrier operates with a fleet of leased aircraft. The company's operations are not generating dividends, so it will, until the middle of this year, lease another Q400 aircraft.

According to the President of the Board of Directors of the Institute for the Management of State Holdings (IGEPE), Ana Coanai, quoted by the portal "O Pais", it is not in the plans to have its own aircraft, "for now".

In addition to the expenses with the payment for the "usufruct" of the fleet, LAM is expected to spend, annually, 140 million in debt with third parties.

Coanai was speaking yesterday during a visit to IGEPE made by the deputies of the Planning and Budget Commission of the Assembly of the Republic, to learn about the management of state owned companies.

The PCA explained that the Institute is in a process of restructuring the state owned companies, and the process has been slow because IGEPE "is a poor shareholder".