Air India needs up to Rs 1,000 cr infusion, says Praful Patel

MUMBAI: National air carrier, Air India, is in need of a capital infusion of upto Rs 1,000 crore for its rejuvenation, Union Civil Aviation Minister, Praful Patel, said.

"Air India needs a capital infusion of upto Rs 1,000 crore. A proposal has been received and we will go through all its details over the next few weeks," Patel told reporters here today.

Airlines suffering losses was a universal phenomenon, Patel said, adding that Air India was looking for soft loans to meet its current requirements.

On airlines seeking to import Air Turbine Fuel (ATF), Patel said he supported the move.

"Airlines need some kind of relief for their fuel bills. ATF in our country is very expensive for various reasons. The taxes, both of the Central Government and the State Governments are very high. I will support airlines on the issue as it would help them reduce their operational costs," he said.

The Minister said that he shared the view expressed by Karnataka Chief Minister, B S Yediyurappa, on the Bangalore International Airport. Yediyurappa had said that the newly-constructed airport was not up to the mark.

"I have talked to the Chief Minister and I share his views. The airport does not meet the required capacity," Patel said.