June 27, 2017/Reuters

South Africa’s Treasury on Tuesday said it was in talks with banks to possibly roll over around 9 billion rand ($695 million)worth of maturing debt due by struggling state airliner South African Airways’ (SAA) at month-end, a senior official said.

Treasury Director General Dondo Mogajane told legislators that should SAA fail to meet it debt obligations, it would have ripple effects on the government’s entire guarantee framework.

(Reporting by Wendell Roelf; Writing by Mfuneko Toyana; Editing by Ed Stoddard)