MMT targets return to profitability

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Management of Metro Mass Transit has said the company is seeking to revamp its operations to become profitable once more, after years of recorded losses.

Per its books, the company’s current debt stands at GH¢123 million as of August this year, from the GH¢130 million as at first quarter of this year.

Managing Director of MMT, Mr Cezario Kale, speaking to the B&FT during a working tour of the company by Deputy Trasport Minister, Dorcas Affo Toffey, explained that the MMT is currently confronted with several operational challenges.

At the time of its establishment in 2004, the MMT was equipped with over 1000 buses, however, data from the company indicates that just about 115 buses are currently operational.

The drastic reduction in fleet in the past years, has also affected company’s 350 traditional routes, reducing it to just 88 routes nationwide.

Despite the current challenges, the company, according to Mr Kale, is embarking on a retooling agenda to bring in about 2000 buses to revive operations.

These acquisitions are expected to be credit base with repayment time range between three to 10 years, with no down payment.

Mr Kale assured that the MMT will continue to study market trends, identify opportunities, and adapt to suit the commuting public’s taste.

The company plans to introduce three innovative services such as MMT Express Passenger service , MMT Cargo and Parcel Services, MMT Bus Hiring and Contract Service as well as air-conditioned buses for passenger comfort.

This strategic plan is expected to improve travel time, provide comfort, eliminate crowding and noise, as well as ensuring reliability and accessibility of buses.

Also the Managing Director indicated that the company is focused on modernizing infrastructure  to meet competition in the market.

Particular investment on bus terminals modernization is intended to provide ambience and security for commuters and improve a distinctive service. The company has initiated this market strategy at the Tamale branch in the Norther region.

Ultimately, these improvements, according to MMT, would positively impact revenue inflow and contribute to the company’s revival.

The Deputy Minister, after the tour, emphasized that government has earmarked operations of the company as part of its 24-Hour Economy Policy agenda.

“Metro Mass Transit has made invaluable contributions by transporting countless passengers at affordable fares and, on many occasions, offering free rides to students and the elderly. These efforts have enhanced the socio-economic well-being of our citizens,” she noted.

Highlighting the company’s mandate to provide safe, reliable, and affordable mass transit services, Madam Affo-Toffey emphasised the urgent need for fleet expansion to sustain intra-city, inter-city, and rural-urban operations.

The visit, according to her, provided an opportunity to engage with management on existing challenges and to explore sustainable strategies for strengthening the institution.

“Although this may seem challenging, I assure you that the Ministry will provide the necessary support, whether through bus acquisition or other essential resources. I am confident that Metro Mass will regain its reputation as a reliable pillar of our national transport system,” she assured.

Credit: B&FT