Commerce and aviation ministries agree on FDI from foreign airlines

New Delhi: The commerce and civil aviation ministries have agreed on allowing foreign airlines to pick up stakes in Indian airline companies but they still have to take a call on whether the FDI cap would be 24% or 26%. The two ministries are slated to discuss the matter soon.
Talking to FE, commerce and industry minister Anand Sharma said: "A proposal has come from the civil aviation ministry and it is receiving our active consideration. A (Cabinet) note will be circulated only after the inter-ministerial consultations."
Last month, the civil aviation ministry had written to the Department of Industrial Policy and Promotion (DIPP) agreeing to equity participation by foreign airlines in domestic carriers, proposing to allow foreign airlines to invest up to 24% in local carriers within the existing cap of 49% for foreign investors.
15/11/11 Timsy Jaipuria/Financial Express

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Categories: Foreign Nov 2011, Indian Aviation- In General Nov 2011, New Nov 2011