Wednesday, July 04, 2018

Air India Sale: Will Real Estate, Other Assets Make It More Lucrative For Private Buyers?

Prime Minister Narendra Modi recently reasserted the BJP-led NDA government’s commitment and “sincerity” towards selling off India’s public-sector enterprises and assets to private parties — if a reassurance was needed, given that the government has already sold off national assets worth Rs 1.25 lakh crore in three and a half years of its rule.

“As for Air India, the government has done what it had to with utmost sincerity. You have to differentiate between the lack of response to one sale offer and a policy decision. At the cabinet level, we have cleared the sale of not only Air India but several other (loss-making) public sector units – this itself is a historical in many ways; that they are yet to be sold is the result of timing and process,” said Modi.

Never mind the fact that the adjective “loss-making” inserted within parentheses is not true of many of the entities on the divestment agenda, but Modi goes on to acknowledge the massive criticism flung in the government’s way against selling Air India (AI) short.
04/07/18 Praneta Jha/Newsclick