How the Modi govt avoided an IL&FS repeat with Jet Airways
New Delhi: Quick action on the Jet Airways crisis—emergency bank funding of ₹1,500 crore and the exit of chairman Naresh Goyal as part of a bailout plan—is the latest example of the government stepping in to prevent a high-profile corporate collapse.
The move has multiple goals—saving ‘Brand India’ from the taint of a bankruptcy, saving serious inconveniences for passengers, and avoiding the impact of a business collapse on the economy.
The government is keen to ensure that the airline survives in order to prevent any wrong signals going to investors at a time India is projecting itself as a destination for investments and is making serious efforts to improve ease of doing business.
