India calls off flag carrier sale after failed attempt

India has decided not to immediately revive a plan to sell its money-losing flag carrier Air India after a failed attempt to find a buyer for the state asset, people familiar with the matter said. PM Narendra Modi’s administration has virtually abandoned the planned sale of Air India after it failed to attract any bidder in a process that ended last month, the people said. The government now plans to focus on improving its operations and selling the carrier’s building in Mumbai, ground handling and aircraft maintenance units. The failed sale is a setback for Modi’s efforts to showcase his credentials as a reformist steering the state away from running businesses ahead of an election due next year. The government would not make any changes to the initial proposal of offering a 76% stake in the carrier as the terms are considered attractive, the people said. The government is reviewing the process to fix the reasons behind the failed attempt. Earlier, Press Trust of India reported that the government had put off the sale for now.<br/>