Now Reading
FEMATRO: “Bus Operators Face Difficulties Due to Lack of Government Subsidies”

FEMATRO: “Bus Operators Face Difficulties Due to Lack of Government Subsidies”

The Mozambican Federation of Road Transport Associations (FEMATRO) has made it known that private bus operators are facing significant financial difficulties due to insufficient subsidies from the government.

The statement was made by the president of FEMATRO, Castigo Nhamane, in response to recent comments by the Minister of Transport and Communications, Mateus Magala, and the executive director of the Transport and Communications Fund, Paulo Ricardo, who indicated that some private companies are not meeting the payments required to operate the buses, as reported in the newspaper O País.

According to Castigo Nhamane, the private operators have made payments, but are facing financial challenges because the subsidies promised by the government have not been made available in full. ‘We were told that, during the pandemic, we should comply with the capacity restrictions on the buses and that the government would compensate for the losses, but this financial support has not materialised,’ he explained.

The president of FEMATRO pointed out that, despite the difficulties, around 90 per cent of the 350 buses allocated to private operators more than six years ago are still operating. This situation, according to FEMATRO, reflects the efforts of these operators to maintain the service, even without the necessary financial support.

Castigo Nhamane noted that the monthly subsidy of 16,000 meticals per bus is insufficient to cover basic operating expenses, such as tyre replacement, which increases the financial pressure on the operators.

He also mentioned that, according to the initial agreement, the responsibility for the maintenance and insurance costs of the vehicles should fall to the companies that supplied the buses. However, the operators have been bearing these costs.

FEMATRO said that Matchedje, the company in charge of maintaining some of the buses, has only carried out basic repairs, leaving the operators to face additional costs to keep the vehicles running.

Despite these challenges, the organisation said that private operators remain committed to providing transport services to the population, but considers it necessary for the government support model to be reviewed in order to guarantee the sustainability of the sector.

FEMATRO’s president also suggested that any new management model should take into account the additional costs that may arise.

The federation called for a dialogue with the government to find solutions that ensure the continuity and viability of public transport services in the country.

SUBSCRIBE TO GET OUR NEWSLETTERS:

See Also

SUBSCRIBE TO GET OUR NEWSLETTERS:

Scroll To Top

We have detected that you are using AdBlock Plus or other adblocking software which is causing you to not be able to view 360 Mozambique in its entirety.

Please add www.360mozambique.com to your adblocker’s whitelist or disable it by refreshing afterwards so you can view the site.