India will allow foreign entities to wholly own local airlines as the government looks to spur investment in the nation.
Foreign investment limits in scheduled airlines will be increased to 100 per cent with government approval, according to a statement from the government’s Press Information Bureau.
Investment up to 49 per cent will be allowed under the automatic route, according to the statement.
Airline stocks climbed with SpiceJet gaining 6.7 per cent, InterGlobe Aviation up 3.4 per cent and Jet Airways advancing 4.6 per cent.
More to follow.