Summary:

The Indian aviation sector is expected to grow in 2025, with mega-mergers, fleet expansions, and infrastructure enhancements. Air India's merger with Vistara, which is partially owned by Singapore Airlines, currently transports approximately 120,000 people daily across 90+ destinations. The Tata Group has also integrated Air India Express and AIX Connect. Air India added 100 Airbus jets, while IndiGo modernized its fleet with wide-body A350-900s. Domestic traffic is predicted to reach 164-170 million passengers by March 2025.

Despite progress, challenges persist, including supply chain disruptions, engine issues, and safety concerns. Jet Airways' bankruptcy, along with safety incidents such as a roof collapse and false bomb threats, has impacted the industry. The Bharatiya Vayuyan Vidheyak 2024 was enacted to modernize aviation regulations. New airports in Noida and Navi Mumbai will help ease congestion. SpiceJet secured US$ 352.6 million to address financial challenges, while Akasa Air purchased 150 Boeing 737 MAX aircraft, strengthening its growth plans.

Source: IBEF

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