No bidder in sight to buy debt-laden Air India

MUMBAI, May 06 (AFP): The Indian government's attempt to sell debt-laden national carrier Air India is in danger of hitting the skids as a key deadline looms with no bidder in sight.

PM Narendra Modi's administration announced in March that it would privatise the beleaguered airline. But the plan has struggled to get off the ground with several prospective buyers ruling themselves out.

"Conditions put forth by the government with regards to debt and employee costs are restrictive and have put off investors," aviation expert Amrit Pandurangi told AFP.

"The government needs to address the concerns of the private investors if the stake sale is to move forward," the independent analyst added.

Air India, founded in 1932, was once the country's monopoly airline, known affectionately as the "Maharaja of the skies".

But it has been haemorrhaging money for years as it has slowly lost market share to low-cost private players in one of the world's fastest-growing airline markets.