Friday, July 27, 2018

Air India received Rs 650 cr equity infusion in the current fiscal

Air India received Rs 650 cr in the form of equity infusion till June 30 of the current fiscal. However, starting from 2012 the government has infused a total of Rs27,195.21 cr in the form of equity.

‘Air India has received an equity infusion of Rs 27,195.21 crore till date,’ Jayant Sinha, Ministry of State for Civil Aviation. By March 2017, Air India reported a debt of Rs48,000 cr.

The UPA government approved the Turnaround Plan (TRP) and Financial Restructuring Plan (FRP) in 2012. Under this an equity infusion of ?30,231 cr was planned for a period of 10 years upto FY 2020-21.

In an interview earlier, Arun Jaitley criticised the refinancing schemes which, he said, could instead be utilized for social welfare sectors. He also pointed out that Air India’s market share fell from 19.4% in 2013 to around 13.3% in May 2017 in the domestic sector. This was due to private competition.
27/07/18 Varsha Santosh/Indian Wire