Foreign investment, retention of professionals major cause of concern in Indian market: CAPA
13 Jun 2007
Speaking on the sidelines of the 3rd annual Indian Subcontinent and Middle East Aviation and Tourism Investor Summit in Mumbai, Miller explained that allowing foreign investment was important, not only to bring in international expertise, but also because such inflows would provide confidence to other potential investors.
Such inflows would also provide domestic operators including FSCs (full service carriers) and LCCs access to a long-term flow of capital from FIIs and other international institutions at competitive rates, he pointed out.
Touching on other issues, Miller said that one of the major causes of worry for Indian aviation was the fact that though some airlines in India had expatriates as their top executives, retaining them remained a big question.
Miller also pointed out another cause of worry for Indian aviation, which was the fact that low cost carriers dominated the market. This was not the case in any other country, and such a phenomenon robbed full service carriers of the cost advantage.
