Communist Party of India (Marxist) on Wednesday said it has no objection to the Cabinet decision on raising the cap on foreign direct investment to 49 per cent in domestic private airlines but the party's concerns still remain in other areas of the civil aviation sector.
"There is hardly any objection because the Cabinet has decided to increase the FDI cap from 40 per cent to 49 per cent in domestic private airlines only," CPI(M) politbureau member Sitaram Yechury said.
He said there was nothing amiss in the decision since the management control still rests with the domestic airline companies, as there is hardly any difference between 40 and 49 per cent.
However, Yechury said the Left had expressed reservations on other aspects of civil aviation, including allowing foreign airlines pick up stake in domestic airlines and privatisation of airports. The matter is still under discussion with the United Progressive Allience government.