A complete sale of Air India likely

Strategic disinvestment has been a mantra of this government, and the terms that have come along with it are substantial with the target being over a trillion rupees for this financial year, most of the points have been mooted, and the sales figures haven’t reached where they were supposed to according to the budgetary estimates that were presented by the finance minister of India in the Lok Sabha assembly for the appropriations and delivery of funds from the central account for the functionality of the government, and it’s services. The companies that have been on the cards for sale have been Air India and Bharat Petroleum Corporation Limited (BPCL) where the government is planning to sell a majority stake, but in the flying domain, the maharaja of the skies is set to be completely sold to private sector as per the report of the specially formed Air India Specific Alternative Mechanism (AISAM) which was constituted after the formation of the new government to evaluate the company and sell it as the loss-making entity was burning through cash at a substantial rate and the government needs to spend the sum on different areas of development to ensure that the terms of social justice and social principles of the country are held over and above the absolving crises in the economic domain of the country.

The total net debt of the company is about Rs 58,262 crore, of which the net loss covered in the past 36 months or three years has been about Rs 23,271 crores.

Now that is a lot of money that could have been drawn to social development schemes and promote the good loans on government securities to endure the economy onto a growing position for the future.