Global aviation leasing body downgrades India in light of Go First case

Aviation Working Group (AWG), a global aviation leasing body comprising major planemakers and lessors, on Monday further downgraded India as lessors have not been able to repossess their planes from Go First more than four months after the airline filed for insolvency.

The leasing cost stands as a prominent expense for Indian airlines. With AWG’s downgrade, it is likely that lessors will increase the aircraft leasing rates for Indian carriers.

AWG had first put India on its watchlist in May after the National Company Law Tribunal (NCLT) had barred the lessors from taking their planes back from Go First.