Skift Take

The aviation industry in India is undergoing changes as the market is underserved. ICRA has, therefore, maintained a stable outlook on the sector.

The domestic air passenger traffic in India during the 2023-24 financial year is estimated to stand at 154 million, according to credit rating agency ICRA. This figure surpasses the pre-Covid figure of 142 million domestic air passengers recorded in the 2019-20 financial year. The agency further stated that domestic air passenger traffic witnessed a 13% increase from last year. 

“ICRA’s outlook on the Indian aviation industry is stable, amid the continued recovery in domestic and international air passenger traffic, and relatively stable cost environment and expectations of the trend continuing in fiscal year 2024-25,” the agency said. 

Growth of Indian aviation sector: The aviation industry in India is undergoing changes as the market is underserved. Indian aviation minister Jyotiraditya Scindia earlier this year said that the country is expected to be one of the least penetrated of the 20 largest markets by 2030 despite its rapid growth. 

The Airports Authority of India (AAI) is planni