Cabinet approves amendment to ‘Foreign direct investment policy on civil aviation’

The Union Cabinet recently approved an amendment to the ‘Foreign direct investment policy on civil aviation’, which allowed Non-resident Indians (NRIs) to acquire 100 per cent equity stake in Air India under the automatic route.

Prior to this amendment, only 49 per cent was available for sale to NRIs in Air India. After the proposed strategic disinvestment of 100 per cent of Air India by the government, the company will be completely privately owned.