Govt to Sell 100% Stake in Air India: Hardeep Singh Puri
Air India’s net loss in 2018-19 is provisionally estimated to be Rs 8,556.35 crore.
The government has decided to sell its entire 100 percent stake in Air India under the proposed disinvestment process, Union minister Hardeep Singh Puri said on Thursday, 12 December.
"AISAM has approved the 100 percent sale of Government of India stake in Air India for the re-initiated strategic disinvestment of Air India," the Minister of State for Civil Aviation said in a written reply to the Lok Sabha.
Air India's net loss in 2018-19 is provisionally estimated to be Rs 8,556.35 crore. The minister said various measures, including enabling swift transition of Jet Airways aircraft to other airlines, have been taken to improve the aviation sector. Full service carrier Jet Airways shuttered operations in April due to cash crunch.
“Airports Authority of India (AAI) has embarked upon a capital investment of over Rs 25,000 crore in next five years for development, upgradation, modernisation of various airports and air navigation infrastructure.”Hardeep Singh Puri
The national carrier, which has a debt burden of more than Rs 50,000 crore, has been making loss for long and as part of revival efforts, the government has decided on disinvestment.
After formation of the new government, Air India Specific Alternative Mechanism (AISAM) has been reconstituted and the re-initiation of the strategic disinvestment of Air India has been approved.
(This story was auto-published from a syndicated feed. No part of the story has been edited by The Quint.)
(The Quint is available on Telegram. For handpicked stories every day, subscribe to us on Telegram)
We'll get through this! Meanwhile, here's all you need to know about the Coronavirus outbreak to keep yourself safe, informed, and updated.
Subscribe To Our Daily Newsletter And Get News Delivered Straight To Your Inbox.