Air New Zealand Survives With NZD$900M Lifeline From New Zealand Govt

Air New Zealand Has Been Given A Lifeline

Very recently, due to the build-up of the virus COVID-19, many airlines have been impacted negatively, to the point where some airlines, such as Flybe, have ceased to operate. We do know that airlines such as Norwegian & Brussels Airlines are close to shutting down operations, but another airline has been impacted heavily: Air New Zealand.

Air New Zealand, one of the top airlines in the world, was very close to shutting down operations. Due to COVID-19 and the fall of airline travel, Air New Zealand cut flights to Buenos Aires and suspended flights to Chicago, London, Houston, and Bali.

And so, the government intervened in order to save Air New Zealand with a $900M bail. The reason why it was bailed was because of how it affects the New Zealand economy and government. First, if ANZ closed down, New Zealand would be without a national carrier. Secondly, the government owns 52% of ANZ. And finally, Air New Zealand is critical for connecting New Zealand to other countries in the world.

According to the finance minister Grant Robertson, a loan agreement has been put into place in order to help ANZ operate,

“This agreement means that Air New Zealand is in a position to play its part in making sure Kiwis can return home from overseas and that essential flights and freight lines for goods like pharmaceuticals remain open by ensuring flights continue to and from key international destinations. The agreement also safeguards the domestic network, with flights assured to all current destinations.”

If you’d like more information about how Air New Zealand was saved, here are two articles that explain the Air New Zealand lifeline.

While it’s sad that many airlines are suffering, it’s great to see Air New Zealand saved by the government. It’s going to be interesting to see how everything plays out once the virus is dealt with.


It’s good to see some good news…

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Wow I didn’t know that. Awesome article with narly information.

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Well, while we celebrate good news, I really wish this wasn’t inevitable:

This $900 million is in New Zealand Dollars, correct?

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Yes, 900 million in NZ dollars, so around 513 million USD when converted.

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I hope they survive, given this lifeline, they should but you never know.

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I suspect quite a few more airlines will need and be getting a similar life line in the next few weeks.

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Holy… they’re gonna need it.

Air New Zealand operated 89 flights on Thursday.

Total passenger count on Thursday: 165


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