NEW DELHI, Sept 7: India has approved the long-delayed purchase of 43 planes from European aircraft maker Airbus Industrie for state-run Indian Airlines for $2.2 billion, Prime Minister Manmohan Singh said on Wednesday.
“Our government has announced today the purchase of 43 Airbus aircraft for Indian Airlines worth $2.2 billion,” Singh told a press conference after talks with European Union leaders led by British Prime Minister Tony Blair.
“Through this deal, we hope to raise our bilateral economic partnership and our interaction in the civil aviation sector to new heights,” Singh said.
The Indian Airlines board had agreed on the acquisition — its first in 15 years — of 20 Airbus A-319s, 19 A-321s and four A-320s more than two years ago but a final decision had been delayed by required clearances from several layers of the government because of the order’s size.
A ministerial panel led by Finance Minister P. Chidambaram held final price negotiations on Tuesday with Airbus.—AFP
