Bank of India to commission Rs 1500 crore to Air India

ANI | Updated: Nov 12, 2017 15:35 IST

New Delhi [India], November 12 (ANI): National carrier Air India will soon receive a loan worth Rs. 1,500 crore from the Bank of India towards the former's working capital requirements.

A senior official from Air India told ANI that the money would be disbursed from next week via installments.

Prior to the current funding round, reports suggest that the airline had borrowed around Rs 3,000 crore as short tenure loans from two lenders - the IndusInd Bank and the Punjab National Bank.

The national carrier has a debt burden of more than Rs 52,000 crore.

The previous UPA Government had extended a bailout package worth little over Rs 30,000 crore to the national carrier for a ten-year period starting from 2012.

The Air India group flies to 44 overseas and 75 domestic destinations. Flights operate to Copenhagen, Tokyo, Washington, Stockholm, Sydney, Hong Kong, Kabul, Colombo, Seoul, Singapore and London, among other foreign cities. (ANI)