MUMBAI: The government is giving a new thrust to beef up Air India's control practices and operational efficiencies while the disinvestment plan would rely on quite a lot of cases, Finance Minister Piyush Goyal mentioned as of late.
The strategic disinvestment plan for debt-laden Air India didn't take off after it failed to draw any bidder when the time limit for filing initial bids ended on May 31.
Against this backdrop, Goyal mentioned there's a new thrust being given to further beef up control practices and support operational efficiencies of the airline.
"In the next 18 months, you will see the visible change," the minister told newshounds on the sidelines of a conference here.
About the failed disinvestment proposal, a senior government legit mentioned the upward thrust in oil costs has wired a lot of companies in India in addition to across the world.
"If you see the balance sheets of all airline companies worldwide, (they have) suddenly taken a turn to the worse in the last three to four months. In that sense, it was not the most conducive times. This phase will pass out and we will have enough interest to once again go into the market and sell," the legit mentioned on condition of anonymity.
According to the legit, a just right control at the airline can help flip the airline successful in a year-and-a-half.
There can be an development in the functioning of Air India and that may "help us get a better value," he added.
On the most probably timeline for Air India disinvestment, Goyal as of late mentioned it would rely on "too many international circumstances" but emphasised that the plan is on.
Under the proposed plan, the government was to promote 76 in step with cent stake in Air India along with whole divestment of low-cost arm Air India Express and a 50 in step with cent stake in Air India SATS Airport Services Pvt Ltd -- an equivalent three way partnership with Singapore's SATS.
Last week, Civil Aviation Minister Suresh Prabhu had mentioned that a plan is being ready through the airline's control to be sure that it continues to function successfully.
"We are reviewing the situation from time to time. We will definitely make sure what is in the best interest of short-term, medium-term and long-term interest of Air India will be done," Prabhu had mentioned.
The strategic disinvestment plan for debt-laden Air India didn't take off after it failed to draw any bidder when the time limit for filing initial bids ended on May 31.
Against this backdrop, Goyal mentioned there's a new thrust being given to further beef up control practices and support operational efficiencies of the airline.
"In the next 18 months, you will see the visible change," the minister told newshounds on the sidelines of a conference here.
About the failed disinvestment proposal, a senior government legit mentioned the upward thrust in oil costs has wired a lot of companies in India in addition to across the world.
"If you see the balance sheets of all airline companies worldwide, (they have) suddenly taken a turn to the worse in the last three to four months. In that sense, it was not the most conducive times. This phase will pass out and we will have enough interest to once again go into the market and sell," the legit mentioned on condition of anonymity.
According to the legit, a just right control at the airline can help flip the airline successful in a year-and-a-half.
There can be an development in the functioning of Air India and that may "help us get a better value," he added.
On the most probably timeline for Air India disinvestment, Goyal as of late mentioned it would rely on "too many international circumstances" but emphasised that the plan is on.
Under the proposed plan, the government was to promote 76 in step with cent stake in Air India along with whole divestment of low-cost arm Air India Express and a 50 in step with cent stake in Air India SATS Airport Services Pvt Ltd -- an equivalent three way partnership with Singapore's SATS.
Last week, Civil Aviation Minister Suresh Prabhu had mentioned that a plan is being ready through the airline's control to be sure that it continues to function successfully.
"We are reviewing the situation from time to time. We will definitely make sure what is in the best interest of short-term, medium-term and long-term interest of Air India will be done," Prabhu had mentioned.
Govt working to boost Air India's operational efficiencies: Goyal
![Govt working to boost Air India's operational efficiencies: Goyal]()
Reviewed by Kailash
on
June 25, 2018
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