NEW DELHI: The government on Wednesday permitted NRIs (non-resident Indians) to own up to 100 per cent stake in disinvestment-bound Air India (AI).
The decision comes at a time when the government is looking to sell 100 per cent stake sale in the national carrier.
Union minister Prakash Javadekar said the Cabinet has approved allowing NRIs to hold up to 100 per cent stake in Air India.
Allowing 100 per cent investment by NRIs in the carrier would also not be in violation of Substantial Ownership and Effective Control (SOEC) norms. NRI investments would be treated as domestic investments.
Under the SOEC framework, which is followed in the airline industry globally, a carrier that flies overseas from a particular country should be substantially owned by that country’s government or its nationals.
