Etihad considering the new FDI rules in India

Dino D'Amore
By Dino D'Amore June 23, 2016 13:40

Etihad considering the new FDI rules in India

Following the announcement by the Indian government that it will allow 100% foreign ownership in airlines with prior approval, Etihad Airways has stated that it “will carefully examine the Government of India’s decision made on a revision of the Foreign Direct Investment (FDI) rules in the Civil Aviation Sector.”

Etihad owns 24% of Jet Airways, which it acquired in 2013, and it has been suggested by many news outlets that the Gulf carrier may increase its stake to 49% or even further.
“Etihad Airways is a committed, long-term partner and investor in India,” the airline said in a statement. “In 2013, we became the first international airline to invest in an Indian carrier – Jet Airways – under the then-FDI rules.”

Although the airline says it is examining the new rules, it tempered that with a comment that it has no plans to buy an airline outright.

“India is an extremely important market for Emirates and we will continue to contribute to the growth of the aviation market in India. Emirates has no plans to buy or acquire any airline. We continue to focus on our organic growth, and will partner with other airlines where it benefits our customers and makes commercial sense.”

Dino D'Amore
By Dino D'Amore June 23, 2016 13:40