Etihad Airways’ interest in debt-ridden Alitalia will mean a brighter future for the Italian carrier, according to its district manager for Malta.

Edward Magro said operations would be strengthened through a deal that would see the Abu Dhabi State-owned airline buying a 49 per cent stake in Alitalia.

He insisted the arrangement would not adversely affect the carrier’s operations in Malta or its staff complement of six.

“It’s positive because the company will become stronger and the feeling we are getting is that the future will look brighter,” he said.

Through the cash flow, Alitalia would now be able to make a “proper investment”, Mr Magro said.

“We will keep running and none of the staff will lose their jobs. Everything will continue normally,” he said.

We will keep running and none of the staff will lose their jobs. The future is brighter

Alitalia has returned a profit only a few times in its 68-year history and received numerous State handouts before being privatised in 2008.

It was kept afloat by a government-engineered €500 million rescue package last year but risks having to ground its planes unless a deal can be struck with cash-rich Etihad to allow it to revamp its flight network.

The deal is expected to be concluded shortly, subject to regulatory approvals.

Italy’s Transport Minister Maurizio Lupi said Etihad was prepared to invest up to €1.25 billion over the next four years.

The two carriers have been in talks since December but Rome was reluctant to accept Etihad’s conditions, which included cutting about 2,200 jobs and restructuring Alitalia’s debt.

A stake in Alitalia, which offers access to Europe’s fourth-largest travel market and flies 25 million passengers a year, would further Etihad’s efforts to expand its reach in Europe after already securing strategic stakes in Air Berlin and Aer Lingus.