Receive our newsletter – data, insights and analysis delivered to you
  1. News
November 30, 2021

India to invest $3.3bn over five years for expansion of airports

Under the PPP mode, $4.7bn (Rs360bn) has been allocated for the development of new Greenfield airports in India.

The Airports Authority of India (AAI) has announced an investment of $3.3bn (Rs250bn) to expand existing airports in the country and modernise them over the next four to five years.

This infusion will enable the creation of new terminals, as well as the expansion and overhaul of existing terminals.

It will also support the expansion or revamp of aprons, runways, control towers and airport navigation services (ANS).

The three public-private partnership (PPP) airports located in Delhi, Hyderabad and Bengaluru cities will invest $3.9bn (Rs300bn) for expansion work by 2025.

Under the public-private partnership (PPP) mode, $4.7bn (Rs360bn) has been allocated for the development of new Greenfield airports in India.

The government has already given in-principle approval for establishing 21 Greenfield airports across the country.

Content from our partners
Understanding Europe: Challenge and opportunity for airport maintenance equipment
The field guide to safer roads and runways

Of these 21 airports, eight airports have been operationalised across various cities.

As part of the governments Regional Connectivity Scheme (RCS), 393 routes became operational, connecting India’s 62 unserved and underserved airports. This includes two water aerodromes and six heliports.

The government is also enhancing air navigation infrastructure at the country’s airports. Freighter aircraft deployed by Indian carriers have grown from 7 in 2018 to 28 in 2021.

The Minister of State in the Ministry Of Civil Aviation (General (Retired)) Dr V K Singh said that goods and services tax (GST) has been reduced from 18% to 5% for domestic maintenance, repair and overhaul (MRO) services.

Furthermore, the government has created a provision for 100% foreign direct investment (FDI) at the greenfield and existing airport projects.

Related Companies

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Monday. The airport industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU