In April 2000, it was reported that Air Malawi was in financial difficulty, and that it may have had to sell assets in order to stay afloat, however the airline public relations department refused to comment on the situation. The government decided to privatise Air Malawi in 2000. 110 employees were laid off in March 2002 in order to help keep costs under control, with Mathews Chikaonda, the former Malawian Finance Minister noting that the airline was overstaffed and was a drain on the coffers of the government.