• Last Update 2024-07-20 13:22:00

India "not considering" Mattala Airport deal

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India’s Civil Aviation Ministry, in a surprise revelation, has said the Airports Authority of India (AAI) is not considering any proposal to acquire a controlling stake of 70 per cent in Mattala International Airport in a joint venture partnership with the Sri Lankan government.

Indian media quoted Minister of State for Civil Aviation Jayant Sinha as stating that “no such proposal is under consideration at present".

He was replying to a question raised by the Lok Sabha BJP member Poonam Mahajan as to whether the AAI is considering purchasing a controlling stake in the Mattala airport, thereby gaining ownership of the airport, the Business Standard web site reported.

According to Civil Aviation Minister Nimal Siripala de Silva’s statement in parliament recently the AAI has been asked to submit its business plan for operating the Mattala Airport.

However he was not immediately available for comment on the latest stance of the Indian government relating to the Mattala airport deal.

Expressing dismay, a senior official of the ministry who wished to remain anonymous, noted that India has not conveyed its decision officially so far .

He noted that AAI had expressed its interest in acquiring a 70 per cent stake of the airport at an  estimated value of US$ 325 million while the balance 30 per cent will be borne by Sri Lanka’s Civil Aviation Authority (CAA). (Bandula)

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