Air India gets a Rs. 5,500-crore lift.

Air India has been provided an additional Rs. 1,000 crore in the revised Budget Estimates for 2013-14 taking the total equity infusion from the Government during the year to Rs. 6,000 crore.

In addition, Finance Minister P Chidambaram has also provided Air India a budgetary allocation of Rs. 5,500 crore as equity infusion while Rs. 22 crore has been earmarked for the Pakyong airport, which is being developed in Sikkim by the Airports Authority of India in the interim Budget 2014-15.

The Finance Minister in the interim Budget presented in Parliament on Monday provided Rs. 5.10 crore to the Indira Gandhi Rashtriya Uran Akademi located in the Rae Bareli, the Parliamentary constituency of Sonia Gandhi.

Besides, Rs. 10 crore has been provided to the Hotel Corporation of India for renovation of its hotels and flight kitchen. Hotel Corporation is a subsidiary of Air India which runs hotels under the Centaur brand name in Delhi and Srinagar.

In addition HCI also runs flight catering kitchens which provide meals for flights.

The funds recieved from the Government will be used towards meeting commitments covered under the airline turn around plan.

It will also be used to pay for some of the gaurantees towards payment of aircraft which the airline ordered.

HBL