Despite ongoing reports in Sri Lankan papers that the Airports Authority of India (AAI) was planning to purchase a stake in the loss-making Mattala airport, India has denied that such a proposal was on the cards.
Asked in the Lok Sabha whether AAI was planning to buy a significant stake in the airport, the Minister of State for Civil Aviation, Jayant Sinha was quoted by the Economic Times as replying, "No such proposal is under consideration at present."
Mr Sinha also denied there were plans to build a flying school and complete maintenance work at the airport.
Sri Lanka's JVP party had expressed opposition to the plans, describing it as a threat to national security.
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