GoM approves restructuring package for Air India

2019-03-01 0

GoM approved 22000 cr debt restructuring plan of Air India subject to clearance from the cabinet. In a policy bailout the national carrier has been allowed to raise 7.400 crore rupees via bonds backed by a sovereign guarantee. Domestic airlines have also been allowed to directly import jet fuels. This move is expected to bring down expenses of airlines significantly as ATF constitutes 50 per cent of total operating costs of airlines.