How has Rs 96,000 crore been utilized to enhance India’s aviation sector over the last five years?

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How has Rs 96,000 crore been utilized to enhance India’s aviation sector over the last five years?

Synopsis

In a significant boost to India's aviation industry, Rs 96,000 crore has been invested over the past five years. This funding aims to modernize infrastructure, enhance connectivity, and make air travel more affordable. Discover the transformative impact of these investments in our aviation sector.

Key Takeaways

  • Investment of Rs 96,000 crore in aviation sector.
  • 162 operational airports in India.
  • 412 million passengers recorded in 2024-25.
  • RCS-UDAN scheme enhances regional connectivity.
  • Greenfield Airports Policy facilitates new airport developments.

New Delhi, July 24 (NationPress) The Airports Authority of India (AAI), in collaboration with its public-private partnerships (PPP), has invested over Rs 96,000 crore in capital expenditure from FY 2019-20 to FY 2024-25 to enhance the nation's aviation sector, as stated by Civil Aviation Minister K. Rammohan Naidu during a parliamentary session.

Currently, India boasts 162 operational airports, which include heliports and water aerodromes. In the year 2024-25, these airports served 412 million passengers, comprising 77 million international and 335 million domestic travelers, reflecting a 9 percent year-on-year growth. The minister highlighted that scheduled Indian operators managed 835 domestic and 251 international routes.

Naidu further noted that in 2016, the Ministry of Civil Aviation initiated the Regional Connectivity Scheme-Ude Desh ka Aam Nagrik (RCS-UDAN). This scheme aims to boost regional air connectivity, making air travel more accessible and affordable for the general populace while promoting regional growth.

Since its inception, 637 RCS routes have been operationalized, connecting 92 unserved and underserved airports, alongside 15 heliports and two water aerodromes.

This initiative also guarantees cost-effectiveness, with airfares on seats funded by Viability Gap Funding (VGF) capped at government-determined affordable rates, according to the minister.

Moreover, the modernization and expansion of infrastructure at existing airports is an ongoing endeavor led by the AAI or relevant airport operators, contingent upon factors such as traffic demand, commercial viability, land availability, operational safety for aircraft, and airline demands.

The government has also enacted the Greenfield Airports Policy, 2008 to facilitate the establishment of new greenfield airports. As per this policy, any prospective airport developer, including state governments, must identify a suitable location, carry out a feasibility study for construction, and present a proposal to the Central government.

Naidu clarified that the Centre has not received any proposals for constructing a greenfield airport at Palghar in Maharashtra or at Pachmarhi or Matkuli in Madhya Pradesh, from either the state government or any airport developer.

Point of View

It is evident that these efforts not only promote economic growth but also ensure the development of underserved regions, thus aligning with the nation's broader vision of inclusive progress.
NationPress
26/07/2025

Frequently Asked Questions

What has been the total investment in India's aviation sector in the last five years?
Over Rs 96,000 crore has been invested in India's aviation sector from FY 2019-20 to FY 2024-25.
How many operational airports are there in India currently?
India currently has 162 operational airports, including heliports and water aerodromes.
What is the Regional Connectivity Scheme?
The Regional Connectivity Scheme-Ude Desh ka Aam Nagrik (RCS-UDAN) aims to improve regional air connectivity and make air travel more accessible and affordable.
What is the Greenfield Airports Policy?
The Greenfield Airports Policy, enacted in 2008, facilitates the development of new airports by requiring developers to conduct feasibility studies and submit proposals to the Central government.
What has been the passenger traffic in Indian airports for 2024-25?
In 2024-25, Indian airports recorded a total passenger traffic of 412 million, including 77 million international and 335 million domestic passengers.