FDI Amendments on Cards for Civil Aviation: Jayant Sinha

FDI Amendments on Cards for Civil Aviation: Jayant Sinha

On being asked about any proposal received from Qatar Airways, the minister added, “As of now, we have not received any formal application from any airline about 100 per cent FDI.”

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NEW DELHI: A week after Qatar Airways announced its plan to set up an airline in India along with the Gulf nation’s sovereign wealth fund, the government said it is considering amending rules regarding 100 per cent ownership by foreign airlines.

“There are various opinions on the matters related to 100 per cent FDI in airlines. We are considering what the Indian airlines through FIAs are saying. Off-course, the government policies are such we do welcome 100 per cent FDI. But we are working through exact registration process and all of the appropriate policies are around us. That is under evaluation,” Jayant Sinha, Minister of State for Civil Aviation said on the sidelines of SpiceJet’s first batch of AME Convocation Ceremony here.

On being asked about any proposal received from Qatar Airways, the minister added, “As of now, we have not received any formal application from any airline about 100 per cent FDI.”
Yesterday, a delegate of domestic airlines’ grouping Federation of Indian Airlines (FIA) met Minister of State for Commerce and Industry Nirmala Sitharaman and flagged concerns regarding allowing overseas players to establish carriers in the country.

Expressing concern over the issue, leading airline carrier SpiceJet Chief Managing Director Ajay Singh said, “Do not support having 100 per cent FDI in aviation sector as it doesn’t guarantee investments.”

Last year in June, the government had liberalised the rules for 100 per cent FDI in many sectors including civil aviation in Brownfield Airport projects in an attempt to ‘modernise’ the existing airports. On release of Regional Connectivity Scheme (RCS) he said in few weeks it would be put in public domain.