According to officials, the government has made it clear that the state-owned airline has to improve its performance if it is looking out for more grants from the former
GN Bureau | December 21, 2016
National carrier Air India will get only Rs 80 crore as additional budget support in the current financial year from the government – much below its demand of Rs 2,200 crore, reported The Business Standard.
The government has agreed to release a ‘meagre’ grant despite the fact Air India’s chairman and managing director Ashwani Lohani had written to the former that funds crunch might derail the turnaround process of the state-run airline.
“Civil aviation ministry’s concerns over requisite funds were accepted by the finance ministry but the latter expressed its inability to accept the full demand,” the newspaper quoted a civil aviation ministry official.
According to AI officials, though, the Rs 80 crore being offered is too negligible an amount to be invested in an airline. The government has made it clear that the state-owned airline has to improve its performance if it is looking out for more grants from the former.
“The money comes from the Consolidated Fund of India. Every company has to show some performance to get more funding,” said an official.
The newspaper further reported that Lohani had written to the civil aviation ministry in November saying that because of the airline’s huge debt burden, a reduced equity infusion would put the airline’s expansion plan in jeopardy.
He underlined that the airline would be forced to raise temporary loans from the banks to bridge the liquidity gap, thus endangering the liquidity and survival of the company.
Air India has debt of Rs 46,000 crore and has annual interest outgo of around Rs 4,000 crore, the report said.
Hailing from Satara district of Maharashtra, Eknath Sambhaji Shinde had to leave his education midway to financially support his family. He worked as an auto rickshaw driver, a lorry driver and also said to have worked in a brewery before he came in contact with Anand Dighe, Shiv Sena’s Thane unit pr
Former Maharashtra chief minister Davendra Fadnavis stunned all at a press conference Thursday and named Eknath Shinde, the rebel MLA from Shiv Sena, as the next chief minister. Though Fadnavis said he would stay out of the government, a few hours later the BJP leadership announced he would be the deputy c
Minutes after the Supreme Court ordered a floor test on Wednesday night, Uddhav Thackeray in a televised address resigned as the chief minister of Maharashtra and also as a member of legislative council (MLC). He later drove down to Raj Bhavan and tendered his resignation to the governor Bhagat Singh Koshi
The gig economy has arrived in India, as the Covid-19 pandemic has propelled a flexibility of employment. As many as 77 lakh workers were engaged in the gig economy, constituting 2.6% of the non-agricultural workforce or 1.5% of the total workforce in India. The gig workforce is expected to expand to 2.35
From obtaining an electricity connection to a driver`s licence, ration card, or old-age allowance, delivery of government schemes and services is an aspect of governance that impacts citizens at various points throughout their lives. The Haryana state government provides over 600 such schemes and services.
From Dependence to Self-Reliance: Mapping India’s Rise as a Global Superpower By Bimal Jalan Rupa Publications, 184 pages, Rs 695 Bimal Jalan, a former governor of the Reserve Bank of India (RBI), has been one of our finest commentators on econom