DRNew Delhi: R N Choubey, Civil Aviation Secretary said the government is likely to finalise Air India revival package in 10-15 days, according to reports on Saturday.
High crude prices and depreciation of the rupee have been cited as reasons affecting the airline sector in his meeting with S C Garg, Secretary, Economic Affairs. “There is good competition in the market and airlines are absorbing the increased costs. Now, how long can they absorb and when will they increase their ticket prices, that is a commercial decision,” he added.
The national carrier is estimated to have a debt burden of more than INR 50,000 cr. Efforts for strategic disinvestment of the airline failed to take off earlier this year.
The government has been looking at ways, including sale of non-core assets, to bolster the carrier’s fortunes. Earlier in the day, Choubey said the impact of increase in fuel prices and fall in the rupee have not significantly impacted air fares.
