Govt has no plan to completely exit Air India, says Sinha


Team Udayavani, Aug 2, 2018, 12:59 PM IST

New Delhi: The government remains committed to the disinvestment of Air India but has no plan to exit the national carrier altogether, Union minister Jayant Sinha said today.

The proposed stake sale in the debt-laden airline failed to take off as it did not receive any Expression of Interest (EoI) from potential bidders when the deadline ended on May 30.

The government is also working on ways to improve the performance of Air India.

Against this backdrop, Sinha told the Rajya Sabha that the government remains committed to the disinvestment of Air India.

In a written reply, the Minister of State for Civil Aviation said the government “has no such plan to exit Air India altogether”.

“In view of volatile crude prices and adverse fluctuations in exchange rates, the present environment is not conducive to stimulate interest amongst investors for strategic disinvestment of Air India in the immediate near future.

“The issue would be revisited once global economic indicators, including oil prices and forex conditions stabilise,” he said.

As per its audited accounts, the airline’s total cumulative losses stood at Rs 47,145.62 crore in financial year 2016-17.

According to Sinha, Air India has been making losses since merger with Indian Airlines in 2007.

High interest burden, increase in competition, high airport user charges, adverse impact of exchange rate variation and liberalised bilaterals to foreign carriers leading to excess capacity in the market are among the major reasons for the losses, he said.

Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.

Top News

Balasore tragedy result of composite negligence of railway officials: Orissa High Court

Actress Kasthuri stokes controversy by her remarks on Telugu-speaking people in TN

Three convicted for 2016 Kollam collectorate blast case

Expect Canadian government to ensure justice, uphold rule of law: PM Modi

Lone tusker spotted on NH-166 near Karkala, disrupts traffic

Lokayukta police summon Karnataka CM Siddaramaiah for questioning in MUDA case on Wednesday

Not ‘kaun banega mukhyamantri’ contest; MVA to name CM pick after polls: Jairam Ramesh

Related Articles More

SEBI mulls separation of non-regulated activities; ‘cross-default’ definition for debenture trustees

Sensex plunges 942 points to settle at nearly 3-month low; RIL, HDFC Bank biggest drag

Equity investors become poorer by Rs 7.37 lakh crore during morning trade as markets tumble

Maruti Suzuki looks to cash in on ‘few lakh marriages’ in Nov to carry festive sales momentum

Mcap of 6 of top-10 most valued firms jump Rs 1 lakh cr; State Bank, ICICI Bank top gainers

MUST WATCH

Gho Pooja in Deepavali Festival

Melukote Deepavali

Ganapathi Co-operative Society Ltd

Udayavani Chinnara Banna 2024

Annapoorna Aahar | Food Places In Mysore


Latest Additions

Balasore tragedy result of composite negligence of railway officials: Orissa High Court

Actress Kasthuri stokes controversy by her remarks on Telugu-speaking people in TN

Three convicted for 2016 Kollam collectorate blast case

Expect Canadian government to ensure justice, uphold rule of law: PM Modi

Group clash in Indore after argument over bursting firecrackers: NSA slapped against 2 accused

Thanks for visiting Udayavani

You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.