India Poised to Ratify Cape Town Convention for Aircraft Leasing Boost

The Indian Union Cabinet approved a bill to ratify the Cape Town Convention, bolstering aircraft leasing by providing legal backing. As India emerges as a leading aviation market, this move will facilitate aircraft acquisition and leasing, enhancing the operational efficiency of domestic carriers.

The Indian government is set to strengthen its aircraft leasing sector by ratifying the Cape Town Convention, following the Union Cabinet's approval of a pivotal bill. A senior official confirmed the development, underscoring its significance in India's booming civil aviation market.

With over 1,200 aircraft orders placed by domestic airlines, the ratification is expected to streamline the leasing process. The Civil Aviation Secretary, Vumlunmang Vualnam, expressed optimism that the Convention's legal backing is imminent, promising enhanced support for aircraft leasing activities.

The proposed legislation is designed to enforce the Cape Town Convention's provisions, crucial for lessors to reclaim leased aircraft efficiently. The government's progressive measures, including a comprehensive overhaul of aviation laws with the new Bharatiya Vayuyan Adhiniyam, aim to elevate India's aviation industry landscape.

(With inputs from agencies.)