Current Affairs - Persons - Discussion

Union Government reconstituted the Group of Ministers (GoM) called the Air India Specific Alternative Mechanism (AISAM) on Air India disinvestment. The group is headed by Home minister Amit Shah and comprises of 3 other ministers namely finance minister Nirmala Sitharaman, commerce, and railway minister Piyush Goyal and civil aviation minister Hardeep Singh Puri. The panel will work out modalities for sale of Air India. Modi 1.0 government had invited bids from investors in 2018 to buy out the government's 74% stake in Air India along with management control. But the process failed as investors did not put in their bids. The reasons include government retaining 24% stake and corresponding rights, high debt, volatile crude oil prices, fluctuations in exchange rates, changes in the macro environment and restriction on bidding by individuals.