FDI in aviation may take long; differences with Trinamool Congress persist

New Delhi: The government may not be able to allow foreign airlines to buy stake in cash-starved domestic carriers in the near future as key UPA ally Trinamool Congress remains steadfast in opposing the move, highly placed sources said.
"Civil Aviation Minister Ajit Singh has held two meetings with TMC chief Mamata Banerjee to persuade her to give a go-ahead to the proposal. But, no consensus has yet been reached," they said.
The proposal to allow foreign airlines to buy upto 49 per cent stake in domestic carriers originally mooted by the Commerce and Industry Ministry, has received a green signal from the Finance Ministry and the Civil Aviation Ministry.
Although the Department of Industrial Policy and Promotion (DIPP) has sent a cabinet note on the matter, it was felt that TMC should be taken on board before the issue is taken to the Cabinet for consideration.
20/06/12 PTI/Economic Times

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Categories: Foreign Jun 2012, Indian Aviation- In General Jun 2012