SME Times is powered by   
Search News
Just in:   • Nifty nears 10,000 as equities rise for 5th straight session  • Oversubscribed 130%, RIL issue largest in the world in a decade by non-finance co  • GDP data: Economy needs more support  • PLI scheme a 'game changer' for mobile manufacturing: ICEA  • Goa to reopen tourism sector: CM 
Last updated: 11 Jul, 2019  

Air.India.9.Thmb.jpg Disinvestment, yes, but Air India will be in Indian hands

Air.India.9.jpg
   Top Stories
» Cabinet approves upward revision of MSME definition
» PSBs sanctioned Rs 3,200 cr loans to MSMEs in a single day: Sitharaman
» Manufacturing output at historic low in May
» Exporters hail exclusion of export turnover, enhancement of turnover limit of MSME
» 'Economic revival may take 6-9 months'
SME Times News Bureau | 11 Jul, 2019
Civil Aviation Minister Hardeep Singh Puri on Thursday said the government was committed to "strategic disinvestment" of Air India due to "unsustainable debt burden" but promised that the national carrier will remain with an Indian entity.

Responding to supplementaries during Question Hour in the Lok Sabha, Puri also said that though Air India was doing "extremely well", the debt burden on the carrier was unsustainable.

He said the decision on Air India's privatization was for the benefit of citizens and the government will do its best to ensure that the company was purchased by an Indian entity.

"It is not the government which has failed to attract the passengers. Air India in fact is a first class asset. It has 125 planes. Half of them fly to 40 international directions and 80 to domestic destinations. It is doing extremely well.

"The problem is that it has taken an unsustainable debt burden. It is servicing of that debt burden which is a problem," Puri said.

Replying to a question from Congress member Manish Tewari, the Minister said: "Previous attempts to disinvest the carrier could not succeed. But now the government has learnt its lessons and a mechanism will ensure the move (succeeds) this time...

"But the government wants the airline to remain in Indian hands and the disinvestment mechanism will take care of the details," Puri said.

The Minister also told the Lower House that when the Pakistan airspace was closed following a stand-off between the two countries, Air India had to spend an extra Rs 430 crore on longer routes.

Puri said it was only a "narrative" that the domestic civil aviation market was declining.

"In fact it has seen a steady annual growth of 17 per cent. Contrary to speculation, the number of flights haven't gone down either."

 
Print the Page
Add to Favorite
 
Share this on :
 

Please comment on this story:
 
Subject :
Message:
(Maximum 1500 characters)  Characters left 1500
Your name:
 

 
  Customs Exchange Rates
Currency Import Export
US Dollar
66.20
64.50
UK Pound
87.50
84.65
Euro
78.25
75.65
Japanese Yen 58.85 56.85
As on 02 Jun, 2020
  Daily Poll
COVID-19 has directly affected your business
 Yes
 No
 Can't say
  Commented Stories
» Starting an import export business: Basic guide for beginners(1)
» FM reviews macro-economy in FSDC meet(1)
» Appoint distributors, expand your business(1)
» MSME stimulus(1)
 
 
About Us  |   Advertise with Us  
  Useful Links  |   Terms and Conditions  |   Disclaimer  |   Contact Us  
Follow Us : Facebook Twitter