New Delhi, Aug 4 (IANS) In a bid to pump cash into the financially-troubled Air India, the government Thursday cleared a Rs.1,732 crore package for the flag carrier, that was struggling even to pay salaries to its staff.
The decision was taken at a meeting of the federal cabinet here, presided over by Prime Minister Manmohan Singh, who had assured parliament a day ago that swift steps will be taken to help the carrier clear the backlog in the wage bill.
The package calls for Rs.1,200 crore as equity and Rs.532 crore as the fare for VVIP and evacuation services, so that the carrier can meet both its immediate needs and also raise funds on its own for its other operational and fleet expansion programme, official sources said.