IndiGo, SpiceJet raise red flag over FDI norms in aviation
IndiGo and SpiceJet have raised "security" concerns over the govt's decision to allow 100% foreign ownership by non-airline players in the Indian carriers. SpiceJet CMD Ajay Singh and IndiGo president Aditya Ghosh have recently raised this issue during their meeting with Commerce and Industry minister Nirmala Sitharaman. During the meeting, the two airlines said aviation is a "sensitive sector" and the FDI policy relaxation would have "security implications", according to sources. The sector is faced with a Catch-22 situation where a foreign investor, excluding overseas airlines, can acquire up to 100% stake in a local carrier. However, at present they cannot seek a scheduled operator's permit since it can only be given to a company where substantial ownership and effective control is in the hands of Indian nationals. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2017-01-05/unaligned/indigo-spicejet-raise-red-flag-over-fdi-norms-in-aviation
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IndiGo, SpiceJet raise red flag over FDI norms in aviation
IndiGo and SpiceJet have raised "security" concerns over the govt's decision to allow 100% foreign ownership by non-airline players in the Indian carriers. SpiceJet CMD Ajay Singh and IndiGo president Aditya Ghosh have recently raised this issue during their meeting with Commerce and Industry minister Nirmala Sitharaman. During the meeting, the two airlines said aviation is a "sensitive sector" and the FDI policy relaxation would have "security implications", according to sources. The sector is faced with a Catch-22 situation where a foreign investor, excluding overseas airlines, can acquire up to 100% stake in a local carrier. However, at present they cannot seek a scheduled operator's permit since it can only be given to a company where substantial ownership and effective control is in the hands of Indian nationals. <br/>
