The Australian government is exploring the possibility of nationalizing companies as the economic fallout from COVID-19 continues.
News Corp Australia reported on Friday that Prime Minister Scott Morrison and Treasurer Josh Frydenberg may consider nationalizing transport services, including airports and airlines, if even only temporarily as the economy continues to crash.
Among one of the most likely to be nationalized is Virgin Australia, Australia's second largest airline, which on Wednesday announced it was terminating all international flights and reducing domestic flights by half between March 30 and June 14.
The government has announced a 715-million-Australian dollar (406.2-million-U.S. dollar) stimulus package for airlines, but some have warned that job losses are inevitable.
Asked about the prospect of nationalization on Friday, Frydenberg said it was "not the focus right now" but did not rule out such measures in the future.
"Look, obviously, the economic situation has gotten worse and we want Australian companies to get through this," he told Australian Broadcasting Corporation (ABC) television.
"We'll do what it takes to support Australian jobs and businesses."
"Virgin is essential to the Australian community and our ability to move domestically and internationally."
However, the government has been urged not to take such action by the Business Council of Australia (BCA) and Qantas, the nation's largest airline which on Thursday announced it would stand down two thirds of its workforce.
"That would be completely unfair. It would mean we're competing against the Australian government," Alan Joyce, the chief executive of Qantas, told Sky News.
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