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CCEA has given ‘in principle’ approval for AI disinvestment, Minister tell RS

New Delhi, Jan 02 (UNI) The government said on Tuesday that the Cabinet Committee on Economic Affairs (CCEA) had given `in principle” approval in June for considering strategic disinvestment of Air India and its five subsidiaries and constitution of Specific Alternative Mechanism to guide the process from time to time.
A group of ministers with representation from the ministries of Finance, Commerce and Industries, Road Transport, Highways and Shipping and Railways was looking into it, the Minister for Aviation Ashok Gajapathi Raju Pusapati told the Rajya Sabha here.
When asked details about the proposal, the Minister said the government was open to take on board any suggestions that come on the procedure.
In its written reply, the Ministry said that Air India had been incurring continuous losses and has huge accumulated losses. The national airlines had incurred a (provisional) loss of Rs 3643 crore in 2016-17 which was projected provisionally at Rs. 3579 crore in 2017-18 Budget Estimates.