Updated By: LatestGKGS Desk
Government of India likely to transfer Air India Debt Before Stake Sale
Government Of India (GOI) helps $8 Billion to Air India lure Investers
The government of India is planning to sell a stake in its state-run flag carrier in Air India, is considering options to keep out at least a part of its $8 billion of debt to help lure investors.
Air India’s assets such as real estate could also be spun off into a separate company.
A call will be taken by a group of ministers headed by Finance Minister Arun Jaitley.
The government is open to all options, including allowing foreign investment in the carrier.
Suppose a portion of its debt is removed, non-aviation-related assets are removed and put into a shell company owned by the government.
A successful sale of Air India is the key for Indian Prime Minister Narendra Modi, who has promised reforms and vowed to improve government finances.
