Dubai-owned airlines, Emirates decides to raise debt in order to help through Coronavirus crisis that has grappled almost every business including global travel.
Emirates also warned that the recovery to overcome economic disasters will take at least 18 months. It also reported a 21% profit rise for its financial year.
Emirates, however, did not mention how much debt it would raise. The airline suspended regular passenger flights in March due to the coronavirus pandemic.
“The COVID-19 pandemic will have a huge impact on our 2020-21 performance,” Chairman Sheikh Ahmed bin Saeed said in a statement.
“We continue to take aggressive cost management measures, and other necessary steps to safeguard our business, while planning for business resumption.”
Emirates Group will not pay an annual dividend to its shareholder, Dubai’s state fund. Its cash assets stood at 25.6 billion dirham ($7 billion), it said.
Dubai Ruler Sheikh Mohammed bin Rashid al-Maktoum said in the group’s annual report that he is confident Emirates would deal with the crisis and get back to its position like before.