The panel of ministers looking into Air India’s financial restructuring plan has recommended an equity infusion of 66 billion rupees ($1.3 billion) into the cash-strapped airline and referred the aircraft purchase to the federal Cabinet. “The report by the group of officers on the turnaround plan was discussed today at the meeting of group of ministers. The report and the observations by the group of officers would be sent to the central bank of India for further referral,” Civil Aviation Minister Vayalar Ravi said after the meeting Friday.

New Delhi – The U.S. is set to win some big-ticket defense equipment deals from India after the downselect of two of its fighters from the $11 billion competition to supply 126 medium multi-role combat aircraft (MMRCA) to the Indian air force. Apparently in a bid to compensate for the MMRCA downselect, India, which is a strategic partner of the U.S., plans to award deals worth more than $10 billion for combat, military transport and reconnaissance aircraft.

India’s business aircraft operators recently formed a new organization, the Business Aircraft Operators’ Association (BAOA), to position the industry for what they believe will be exponential growth over the next decade. “The business aviation industry is growing at an encouraging rate, and India is all set to be the third largest aviation market by 2020,” says Rohit Kapur, president of the new association and managing director of Arrow Aircraft, which sells Gulfstream aircraft in India.