Montenegrin Government said on Friday it decided to form a new national air company after it landed the planes of the former flag carrier Montenegro Airlines (MA) last December due to debts it could not service following abolishing the state subsidies.

The Government added it allocated four million Euro founding capital and adopted the new company’s statute.

Podgorica Vijesti daily said the new company could be formed by the end of February, while the first flights were expected in six to nine months.

The Government also decided to keep MA alive with minimum flights to avoid losing licences.