After almost 15 years since the idea was raised, India will create a new aviation regulatory body to oversee the troubled airline sector, monitor aviation safety issues and take steps to modernize more airports and air traffic management services.

NEW DELHI — India will take a “second look” at its policies on defense production and procurement to lessen reliance on imported weapons and avoid controversies such as the bribery scandal surrounding the AW101 helicopter deal with Finmeccanica subsidiary AgustaWestland. Defense Minister A.K. Antony is urging defense forces to transform their approach of relying on imports to meet operational requirements and instead give priority to indigenization in the defense sector.

AirAsia Group, Southeast Asia’s largest budget operator by fleet size, plans to start a low-cost airline in India through a partnership with local investors. Through its investment arm, AirAsia Investment Ltd., Air Asia has applied to the Foreign Investment Promotion Board (FIPB) in India for approval to invest 49% in a proposed joint venture with Tata and Arun Bhatia of Telestra Tradeplace, a senior government official says.