The Union government is to drop the condition of '5/20 rule' to Indian airlines by next November to fly on overseas routes. The government is to scrap the rule requiring airlines to fly on domestic routes for five years and to possess a fleet of at least 20 planes before launching overseas operations, say media reports.
The government's proposal comes at a time when Tata Sons and Singapore Airlines have proposed to start a premium Indian airline, and Tata Sons teamed up with AirAsia Bhd to start a low-cost carrier.
The Union Civil Aviation Minister Ajit Singh said that there is no logic in the rule and the government is preparing a cabinet note to scrap the rule after consultation with the Directorate General of Civil Aviation (DGCA).