Union Budget 2019 - Time Is Right For India To Enter Into Aircraft Financing & Leasing: Finance Minister

In a time when Indian Aviation Industry is going through turbulent times, Finance Minister Nirmala Sitharaman has announced that India will enter into aircraft financing & leasing. This is a first time any finance minister spoke about aircraft financing & leasing in their budget. The finance minister said as the world's third largest aviation market, time is ripe to enter aircraft financing and leasing from Indian shores.

The commercial aircrafts are very expensive and need finance and leasing options for any aircraft carrier to induct planes in their fleet. Finance Minister also announced that the Government will examine opening up FDI further in aviation.

Sitharaman, 59, became only the second women in the history of independent India to present the Union Budget. Prior to the presentation, the Union Cabinet headed by Prime Minister Narendra Modi approved the Budget for 2019-20. She handed over a copy of the Union Budget to President Ram Nath Kovind before her maiden budget speech. Breaking away from the brown Budget briefcase, Sitharaman held a red parcel like bag with a key hole on the emblem.

She said the interim budget focused on 10-point vision to boost economy. In the current year, India's economy will grow to become USD 3 trillion economy, sixth largest in world. "We need to invest in infrastructure, digital economy and job creation in small and medium enterprises," Sitharaman said.

She said that in terms of Purchasing Power Parity (PPP), India has become the third largest economy in the world after the US and China. The minister emphasised the need for structural reforms for achieving USD 5 trillion economy.

With Inputs from PTI