Cabinet may clear Air India selloff this week

The Union cabinet may clear the decks for the govt’s stake sale in loss-making Air India this week after choosing between the option of an outright sale and partial divestment. The cabinet note prepared by the Committee of Secretaries includes both the Niti Aayog’s recommendation of complete privatisation and the civil aviation ministry’s proposal of a substantial reduction in the airline’s debt by sale of subsidiaries and assets before privatisation, a senior civil aviation ministry official said. “The proposal gives an option and leaves it to the cabinet to decide,” said the official, who didn’t want to be identified. It was expected to be cleared last week, but could not be taken up by the cabinet, he said. The move comes about 2 months after prime minister Narendra Modi gave the go-ahead for disinvestment in the airline. <br/>