Arun Jaitley hints at privatisation of Air India: Here are 5 other countries which sold their national carrier

Hinting at the privatization of ailing Air India, Finance Minister Arun Jaitley on Saturday said if private airlines can handle 86 per cent passengers then they can also do 100 per cent. Currently, state-owned Air India's market share is just 14 per cent.
                                                                                                                                                                                                                                                       
This is not the first time he has favoured disinvestment, almost 18 years ago when Arun Jaitley was Civil Aviation Minister he said that "nothing will be left to dis-invest. If it was not done".

Jaitley was speaking to DD News where he said: "Air India's market share today is around 14 percent while the debt is Rs 50,000 crore while the government has not put in money in private carriers."

Earlier in the month, Civil Aviation Minister Ashok Gajapathi Raju said 'business as usual' was not going to help Air India. His remarks came against the backdrop of state-owned air airlines' Chairman and Managing Director Ashwani Lohani who wrote in a Facebook post that the massive debt on Air India's books was the root-cause of all its woes.

While Lohani blames huge debt for ailing Air India, the government has given yet another indication of privatization of state-run airlines.

And if the government's latest decision to declare loss-making Air India as 'sick' is any measure then it is about time that country's Maharaja could see some disinvestment if not complete sell-out at private hands.

This should not surprise anyone as India won't be the first country to sell or disinvest in state-owned airlines. Here is a list of some other countries that sold off or disinvested their national air carriers. 

British airways: Almost thirteen years after its formation, loss-making British Airways was privatised in February 1987. The Government's intention of moving British Airways into the private sector was announced by the then Secretary of State for Trade in July 1979. Legislation to achieve this was passed in the Civil Aviation Act 1980. The British government's intention was to go ahead with a sale soon after the passing of the Act, but the decline in the airline's profits in 1979-80 and the large losses in the two subsequent years made that impracticable and it finally happened in 1987.

New Zealand: In 2001, New Zealand's national airline was reeling under massive debt pressure. Following the financial condition of the national carrier, the government decided to step in with a $NZ885 million rescue package. However, New Zealand's Finance Minister Michael Cullen soon made it clear that the government did not intend to be the airline's 'long-term owner'. Finally in 1989, the government sold off the state-owned airline because it wanted to establish an international reputation for free market reform.

Germany Lufthansa: Germany's Lufthansa once touted as world's fifth largest airline was listed in 1966. Owing to increased pressure in the air, the government decided to sell 5.7 per cent of its holding in 1994. Minister of Transport for UK Matthias Wissmann told the Independent: "State-owned airlines are an anachronism in a liberalised air transport market. As competition becomes increasingly fierce throughout the world, a successful airline needs as much entrepreneurial scope as possible." Three years later in 1997, the German government decided to sell its remaining stake in Lufthansa.

Botswana: Earlier in February, Botswana put its loss-making national airline up for tender. The Botswana transport department undertook a five-year turnaround plan that includes cutting costs and cancelling unprofitable routes. The airline recorded its operating loss 83 million Pula (USD 8 million) in the 2016 fiscal year.

Japan: State-run Japan Airline was established in 1951 and became the national airline of Japan in 1953. After over three decades of service and expansion, the airline was fully privatised in 1987.