Modi's 'UDAN' project faces fund crunch as too many airlines come on board

While govt's initial assessment was Rs 3 billion, a manifold rise in the number of participating airlines has increased the funding requirement to Rs 12 billion

Arindam Majumder & Aneesh Phadnis  |  New Delhi/Mumbai 

The Narendra Modi government’s flagship aviation scheme, UDAN, is facing a funds crisis because the number of participating airlines has increased manifold. While the government’s initial assessment for the scheme was Rs 3 billion, a manifold rise in the number of participating airlines has increased the requirement to Rs 12 billion.

The government has received bid proposals for 502 routes in the second round, compared to 128 in the first round. The bidding process for the second round was completed on December 21, but the Ministry of Civil Aviation ...
First Published: Fri, January 19 2018. 04:50 IST