With Air India and KFA going through their worst crises, the government has decided to constitute a working group to examine the problems being faced by the troubled aviation sector.
Indian carriers will lose around $2.5 billion in 2011-12, according to the Centre for Asia Pacific Aviation.
The working group, that would examine data relating to airlines, is likely to be headed by aviation secretary Nasim Zaidi. The aviation ministry had asked all carriers to submit data on their financial position. Air India, Jet Airways, JetLite, Kingfisher, SpiceJet, GoAir and profit-making IndiGo had submitted the required information, sources said. Consultations are also likely to be held with other ministries.
The group would work out a policy for the sector and the information sought by the ministry relates to the airlines' overall financial situation, the extent of debt with financial institutions and working capital requirements.