Air India revival package may be ready in a month: Govt
Hyderabad: The Centre is likely to finalise a revival package for the ailing Air India in a month, a top official of the Civil Aviation Ministry said Tuesday assuring "need-based" support to the debt-laden carrier.
Civil Aviation Secretary, RN Choubey also said the safety audit that the Director General of Civil Aviation ordered on domestic airlines "did not find any backlog of any safety steps that they should have taken."
"Whenever there is a need for financial support to Air India, it will be examined on need basis and such financial support on need basis will be provided. I only wish to tell you that all support will be provided.
Air India's competitiveness and efficiency will not be compromised. We have nearly finalised the package and there will not be any problem for Air India. Within this month yes.
Certainly," Choubey told reporters here.
He was responding to a query about the revival package for Air India.
He said the disinvestment of Air India may be possible only after the macroeconomic conditions and market conditions are favourable and expected that the airlines would improve its efficiency and operational capabilities.
The official further said the rising fuel prices and sliding Rupee against Dollar, impacted the profitability of the industry during the past two quarters and the ministry was also working separately on various measures to support the airlines sector in general.
"The intention is to bring down the cost. You must appreciate that the cost of operations has gone up because the rental has gone up on account of devaluation of Rupee and fuel prices have also led to the cost increase in operations. So our intention is to bring down the cost. That's what we are wanting to provide," he said.