Mumbai: The government has agreed to inject funds into the ailing national carrier Air India, newspapers reported on Sunday, citing government sources.
Air India's accumulated loss was about Rs 72 billion (USD 1.5 billion) at the end of March, Aviation Minister Praful Patel told parliament last month, adding the airline needed government assistance.
The Financial Express said Air India could get Rs 25 billion (USD 514 million) to 30 billion rupees of equity. The Economic Times put the figure at Rs 50 billion to be linked to performance over the next three years.
The decision was taken at a meeting of a government committee of secretaries on Saturday, the two papers said.
Air India has been hit by a slowdown in the economy and high cost of operations.
Bureau Report
First Published: Sunday, August 30, 2009, 17:40