Following IndiGo’s decision of not bidding for state-run Air India, the government might be pressured to tweak some of the key areas in the preliminary information memorandum that, according to many carriers, make it difficult to bid for the national carrier. There is no doubt, say experts, that IndiGo was the only domestic airline with the cash reserves (over Rs 120 billion) and management wherewithal to turn around Air India.

It was also the only carrier that met the net worth criterion of Rs 50 billion on its own. Now, IndiGo’s withdrawal from the race is surely a ...