Air Vanuatu bailout

Vanuatu’s government has signed an agreement for a US$3.5 million bailout of the national airline Air Vanuatu. The funds, which will be paid in two installments and will be repaid over five year terms, will be used to pay off the airline’s debts, partly finance a reform plan, reduce its bank overdraft facilities, finalise the delivery of a new aircraft, and source spare parts for its domestic ATR72 fleet. The second installment will only be paid when the government is satisfied with the airline’s reform plans. Air Vanuatu offers flights from Port Vila to Australia, New Zealand, New Caledonia and