Rediff.com » Business
FIPB approves AirAsia-Tata airline plan
Source: PTI March 06, 2013
The Finance Ministry on Wednesday cleared the investment proposal of Malaysian budget carrier AirAsia which seeks to enter India through a joint venture with Tata Group and another company.
"AirAsia's proposal has been cleared.
"It is as per the policy (which allows) up to 49 per cent FDI.
"Rs 80 crore (Rs 800 million) is initial investment," a senior government official said.
The Foreign Investment Promotion Board, headed
by DEA Secretary Arvind Mayaram, approved the proposal at its meeting in New Delhi.
AirAsia has applied to FIPB to take 49 per cent in a venture with Tata Sons Ltd and Arun Bhatia's Telestra Tradeplace Pvt Ltd.
The carrier will now have to approach the aviation regulator Directorate General of Civil Aviation for further clearances.
"AirAsia will now have to take necessary licence etc. from DGCA," the official added.
This would be the first entry of a foreign carrier in the domestic aviation sector after the liberalisation of FDI policy in September last year.
Source:
PTI© Copyright 2024 PTI. All rights reserved. Republication or redistribution of PTI content, including by framing or similar means, is expressly prohibited without the prior written consent.
Recommended by Rediff.com
No big hurdle for AirAsia's planned foray: Ajit Singh
PC, Manmohan, Antony: Who'll be Rahul's PM choice?
Foreigners can now take key positions in airline JV
CAG smells a rat in UPA's farm debt relief scheme
IMAGES: Industrialists featured on postage stamps
© 2024 Rediff.com