In consonance with the treaty obligation of India, being a Contracting State to the Cape Town Convention and the Aircraft protocol, the Government of India issued a notification dated 03.10.2023 providing that the moratorium under the Insolvency and Bankruptcy Code, 2016 will not apply to aircraft, aircraft engines, airframes and helicopters governed by the Cape Town Convention.
As a consequence of this development, Aviation Working Group (AWG) issued a positive watchlist notice in their CTC compliance index with projected increase in India’s score.
It would be a positive step towards ease of leasing/financing aircraft equipment to Indian operators.
Source: https://pib.gov.in/
