Govt may let foreign airlines bid for AI

Govt may let foreign airlines bid for AI

India is likely to change rules to allow foreign airlines to bid for Air India Ltd as long as they have a local joint venture with an Indian partner as the government seeks to increase the number of suitors for the debt-laden national carrier.

“Foreign airlines will be allowed to bid as per the current policy that’s applicable on all domestic airlines. That much we can confirm,” an official with knowledge of the matter said on condition of anonymity

Existing rules allow foreign airlines to own as much as 49% in an Indian airline, with the exception of Air India. With the change in rules, the government expects to make the sale of Air India, which has drawn interest from companies including the Tata group and InterGlobe Aviation Ltd, more competitive.

The Mint, New Delhi, 11th December 2017

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