AAI to raise Rs 4,000cr debt from market

The Airports Authority of India (AAI) will consider raising debt from the market through bonds to the tune of Rs 3,000-4,000 crore for the modernisation of 35 non-metro airports in the country and also for greenfield airports in Goa, Pune, Kunnoor and Navi Mumbai.

AAI has already sought and received a triple A rating from Crisil to gain smooth access to funds from financial institutions. The organisation has upto Rs 2,000 crores in reserves.

"The committee on infrastructure, headed by the prime minister, set up to focus on airport development in the country, had recommended modernization and upgradation of 35 non-metro airports in the country over a period of five years. These airports will cover state capitals and other important business centres in the country. The modernisation programme includes new airstrips for the airports. The estimated cost for such a venture is Rs 4,000 crore over the next three to four years. However, it will increase if we undertake modernization work at the Kolkata airport," Union civil aviation minister Praful Patel said at a meeting of the parliamentary consultative committee in the city.