Budget 2019: Air India en route privatisation as budgetary support drops 100% in 2019-20


Modi government could well be on the path of privatising Air India, state backed national carrier, as the airline saw its budgetary support drying up in the interim budget of 2019-20. The government has allocated a meagre Rs 1,00,000 as extra budgetary support for the debt laden carrier which sits on accumulated loss of Rs 55,000 crore.

According to the budget document, Centre’s equity backing for the airline dropped by 99.99 percent to Rs 1 lakh against budgetary support of Rs 3,975 crore (revised estimate) during 2018-19.

The budget document further states that the amount for the “turnaround plan” of Air India will be transferred to the special purpose vehicle (SPV), Air India Asset Holding Company Ltd, to undertake the debt servicing programme. Read More

You may also read!

Finally,big push for the navy

India is finally shoring up its defence assets with a welcome emphasis on its much neglected Navy. The `50,000

Read More...

Jet-black days: Hotel chains & in-flight caterers brace for impact

The trouble at Jet Airways  is expected to spill over on to the balance sheets and revenues of leading

Read More...

SpiceJet To Induct 6 Boeing 737 Planes, Launch 24 New Flights

Budget carrier SpiceJet Thursday said it will dry lease (aircraft without crew, ground staff) six more Boeing 737 planes

Read More...

Leave a reply:

Your email address will not be published.

Mobile Sliding Menu