GoAir gets Rs 800-crore credit line from banks amid Covid-19 pandemic

Budget carrier GoAir India has received a Rs 800-crore credit line from banks that will provide some relief to the airline amid the COVID-19 pandemic.

GoAir had applied for a debt restructuring under the Reserve Bank of India's one-time debt restructuring scheme after receiving the credit line, there will be no need for recasting loans.

"Banks have extended credit of Rs 700 crore-Rs 800 crore to the airline. This funding will be sufficient for the company for the next couple of years. This also means the airline will not need any debt restructuring," a banker told Business Standard. The loan extended to GoAir, promoted by the Wadia Group, was under the Emergency Credit Line Guarantee Scheme (ECLGS) 2.0, which was announced as a part of the third set of measures under the Atmanirbhar Bharat package.