Kerala seeks PM help on Somali hostage issue; debt package

Chief Minister Oommen Chandy said the Prime Minister has responded positively to most of the demands put forward by the state, which also included immediate sanctioning of a special debt-relief package, approval for new state government- promoted airline service and relaxation in existing norms for education loans.

Addressing the press at the 'Emerging Kerala' investors meet here, Chandy said there are around 12 people from Kerala out of the 32 hostages held by the Somali pirates in that country.

Chandy said there are two types of hostages and one group is being kept in the ship itself and pirates are demanding ransom in return for their release.

Usually, such amounts are paid by the ship owners but in the current case, ship owners are not coming forward, he said.

According to the Chief Minister, another set of hostages are in Somalia and for their release, the demand is the reciprocal release of pirates imprisoned in Mumbai jail.

"There are about 100 pirates in Mumbai jail... Kerala wants the release of hostages even if it means the pirates are to be released from the jail".

He also noted that official explanation that a decision can be taken only after trial of pirates are over is not acceptable to the state.

Regarding package from the Centre, Chandy said the state wanted a debt waiver of Rs 2,975 crore, which was approved sometime ago, but is yet to be implemented.

The state has also sought speedy approval for launching state-run airline 'Air Kerala' -- that would primarily cater to Keralites living in the Gulf region. MORE