New Delhi, Dec 30 (IANS) In a bid to revive cash-strapped national carrier Air India, the government Thursday approved an equity infusion of Rs.1,200 crore in the ailing airline.
‘Cabinet Committee on Economic Affairs (CCEA) today approved the infusion of Rs.1,200 crore as equity in Air India Limited,’ Civil Aviation Minister Praful Patel said in a statement.
According to the statement, the infusion of funds would give the much needed capital required by the national carrier for payment of its dues, revival of its operations and expansion of its fleet.
Earlier, the airline proposed an infusion of Rs.10,000 crore which was examined by a committee of secretaries, led by Cabinet Secretary K.M. Chandrasekhar.
The committee then decided to provide Rs.2,000 crore to the airline. Apart from the current infusion of Rs.1,200 crore, the airline has already received another Rs.800 crore in February.
