High-level sources in the federal government confirmed to CTV News that the Canadian government has sold its stake in the airline "Air Canada," according to a report published by the Globe and Mail.

During the COVID-19 pandemic in 2021, the Canadian government purchased a 6% stake in the airline for $500 million as part of a financial rescue package. This package also included a loan of $5.9 billion to support the company, which incurred billions of dollars in losses during the pandemic.

By Thursday evening, Air Canada's stock closed at $25.28 CAD on the Toronto Stock Exchange, up by 23 cents.

The office of Canadian Transport Minister Anita Anand declined to comment and referred journalists to the office of Deputy Prime Minister and Finance Minister Chrystia Freeland, who has not yet responded.

Last week, Anita Anand told CTV News that she is looking into the "legal relationship" with "Air Canada" to deter the company from imposing additional fees on carry-on luggage.

For his part, Carleton University business professor Ian Lee criticized the government's intervention in the airline, saying:

"The role of the government is to be the referee, not to own the team or tell the players when to score goals."

Lee added that the government provided billions of dollars to several companies during the pandemic without taking stakes in most of them. He linked the government’s sale of its stake in "Air Canada" to the recent announcement of plans to increase spending, stating:

"There is a lot of talk about increasing spending again, so it seems the government is looking for financial resources and is seeking to sell its assets."