Government eases restrictions on utilization of Indian Air Space

Finance Minister Nirmala Sitharaman today announced an easing of restrictions on utilisation of Indian air space. The step will benefit the civil aviation sector by about Rs 1,000 crore per year.

FM announced to make the air travel cheaper and in an effort to make civilian flying more efficient, it announced to ease the restrictions on utilisation of the Indian Air Space.

Announcing the fourth tranche of the economic stimulus of Rs 20 lakh crore, she said only 60 per cent of Indian airspace is freely available. More air space available would reduce travel time and save on fuel.

Today's press conference had a focus on structural policy reforms in growth-oriented sectors. The key highlight of today's reforms rollout was that government has liberalised crucial sectors for more investment, higher production and more jobs opportunities. FM Sitharaman in her address clarified that Atma Nirbhar Bharat Abhiyan is not about making India isolated.

Besides, the finance minister said six more airports will be auctioned for private participation. Also, an additional investment of Rs 13,000 crore will be made by private players in 12 airports auctioned in first and second rounds.

She also said tax regime for aircraft Maintenance, Repair and Overhaul (MRO) has been rationalised. She added, Aircraft component repair and airframe maintenance are expected to increase from Rs 800 crore to Rs 2,000 crores in three years.

FM Sitharaman's last and the fifth tranche of the announcement is scheduled to be held tomorrow at 11 am.