INDIAN CIVIL AVIATION MINISTER SHRI. HARDEEP SINGH PURI SAID OPENLY IN THE PARLIAMENT SESSION ABOUT AIR INDIA CRISIS.
It has been a long time since everyone is listening to the news of selling Air India for the last 20 years; no one knows what the real fact is! Indian civil aviation minister Shri. Hardeep Singh puri said openly about the AIR INDIA crisis in a while.
AIR INDIA WILL BE GROUNDED FOREVER?
The most exact reason for loss-making is loose regulation, rare on-time performance, and being careless as a governmental organization.
Air India was the second-largest loss-making company in 2018-19 in India. Which is questioning in itself
The company currently has a debt of Rs 58,000 crore, which is a considerable amount.
AI has now reached that stage, where either it will be sold or closed. Union Minister Hardeep Singh Puri announced this directly in Parliament on Tuesday, and he said that the government has two options.
Air India has now reached that stage, where it will either sell or be closed. Union Minister Hardeep Singh Puri announced this directly in Parliament on Tuesday. He said that the government has two options. Either sell it or close it. After this statement, now it seems that if the buyers of Air India are not found soon, then it may be closed. The company currently has a debt of Rs 58,000 crore. Air India was the second-largest loss-making company in the year 2018-19.
On May 27, 2000, the government approved a 60 percent stake in Air India for the first time. However, it could not be achieved at that time. Since then, it has been in the process of selling. Air India was also named when the NITI Aayog recommended public sector disinvestment in May 2017. Tenders were also sought to sell 76 percent of its stake in 2018. After this, on December 12, 2019, Hardeep Singh Puri announced to sell a 100 percent stake of Air India in Parliament, whereas earlier in 2018, it was reported to sell a 76 percent stake in it.
Know when and how to make crucial decisions for the company.
Talk of selling Air India for the first time in 2000
I. In 2003, Naresh Chandra Committee proposed the privatization of Indian Airlines and Air India with a lot of
There was a protest.
• Indian Airlines merger with Air India in 2007-08
Had done it. Even during the Congress government, there was talk about selling
But the Manmohan government put this proposal in cold storage, and under Praful Patel's leadership, the focus was on increasing both national services.
The first tendering took place in 2018; it was announced to sell a 76 percent stake. • The second time tendering took place in 2020, the government said to sell 100 percent stake and so far, four times
.
The date has been extended. Why was the decision on privatization retaken in Modi government?
1. The government cannot help now- Hardeep Singh Puri on Tuesday clearly stated that Air India has so much debt that the government cannot help it. The privatization of this service is mandatory to run it. The government has already made it clear that it can no longer provide any additional funds to Air India.
2. Heavy debt- Privatization of Air India is considered justified due to operational malfunction, lax management attitude, and inability to compete with private sector operators. Also, the vast debt the company has is entirely dependent on government funding. From the very beginning, political interference in the company can be called a big reason for the Bengali.
3. Failure of bailout package - The airline has been running the bailout package since the 2012 UPA government. The UPA government gave a relief package of Rs 30,000 crore in 2012, due to which it is still flying. Subsequently, in 2013, the then UPA government had approved an equity infusion of Rs 30,231 crore in the company by 2020-21. The airline gets about 27,000 crore rupees was received. Despite this, there was no effect. However, due to non-improvement in operations, the company's losses kept increasing every year.
4. Government is not expecting to get investors - Let me tell you when the first time the Modi government talked about selling the stake of Air India, for one year, the buyers did not show interest. Government sources have already clarified that the government does not have much hope of getting investors due to the company's economic condition.
Nobody knows what the real future is; let's hope for the best for Air India, and it's employees.
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