New Delhi: India's aviation ministry has agreed to allow Air India's lenders to be part of a monitoring board that will oversee execution of the state-run carrier's turnaround plan over the next few years.

Air India's debt recast plan was given an in-principle approval by banking regulator Reserve Bank of India (RBI) in November, after which it had asked a consortium of lending banks, led by SBI Capital Markets Ltd, to hold talks with the carrier and the aviation ministry and submit a final report.

One of the conditions sought by the banks from the aviation ministry, when both sides met last month, included having an oversight on the airline's turnaround implementation.