Finance Ministry presents supplementary demand for additional expenditure of Rs 2.5 lakh crore in Parliament

(PTI) New delhi date. 3

The government today sought the approval of Parliament to inject Rs 2,000 crore into Air India Assets Holding Company (AIAHL). Following the privatization of Air India, Air India's debt and outstanding assets have been incorporated into the company. An additional expenditure of Rs 2.5 lakh crore has been planned for the current financial year.

The additional costs include an additional fertilizer subsidy of Rs 2,50 crore, delayed export incentives of Rs 2,16 crore and an amount of Rs 2,05 crore for the Ministry of Rural Development. This amount will be allocated for the Ministry of Rural Development for the National Rural Employment Guarantee Fund.

Pankaj Chaudhary, Minister of State in the Ministry of Finance, presented the second supplementary demand in the Lok Sabha today. Then Finance Minister Nirmala Sitaram presented a supplementary demand in the Rajya Sabha for the financial year 2021-2.

According to a document submitted by the government, Rs 3,04 crore will be provided to the Ministry of Civil Aviation for investment in Air India Asset Holding Company (AIAHL).

In October, the government entered into a share purchase agreement with Tata Sons to sell to Air India. As on August 31, the total debt of Air India was Rs 31.8 crore.