NEW DELHI: The share of Indian airlines in international passenger traffic originating from, terminating in, or transitioning via India is predicted to surge 50 per cent by fiscal 2028 from 43 per cent in 2024, in accordance to Crisil Ratings.
The ranking company asserted that the advance can be pushed by Indian airlines deploying further plane and including new routes within the international phase, in addition to their inherent benefit of superior home connectivity in contrast with overseas carriers.
The enterprise profiles of Indian carriers will strengthen consequently of their rising share in international traffic, which is extra worthwhile than the home phase.
India’s international passenger traffic grew to round 70 million in fiscal 2024, from a low of 10 million in pandemic-hit fiscal 2021, to surpass the pre-pandemic degree. The share of Indian airlines, which was rising steadily earlier, picked up tempo for the reason that pandemic.
“A noticeable shift in spending patterns has emerged after the pandemic, as evident in the increasing inclination of Indians towards international leisure travel. Increasing disposable incomes, easing visa requirements, growing number of airports and enhanced air travel connectivity are boosting international travel,” mentioned Manish Gupta, Senior Director and Deputy Chief Ratings Officer, CRISIL Ratings.
“The government’s focus on making India a hub for tourism is also expected to provide a fillip to inbound traffic,” he mentioned.
The ranking company mentioned international passenger traffic is probably going to clock a compound annual progress charge (CAGR) of 10-11 per cent over the following 4 monetary years, towards a mere 5 per cent CAGR within the 4 years earlier than the pandemic.
Indian airlines are wanting to seize a big portion of the expansion in international passenger traffic as it’s usually extra worthwhile due to greater margins and has much less intense competitors in contrast with home routes.
They have added 55 new international routes over the previous 15 months, taking their tally past 300, Crisil Ratings mentioned.
“These include direct flights originating from additional cities to popular long-haul destinations in the United States, Europe and Australia, effectively reducing flying time and eliminating layovers,” it mentioned.
India’s geographic location additionally lends itself properly to air connections, positioning the nation as a hub for international journey.
Ankit Kedia, Director, Crisil Ratings, mentioned, “To capitalise on the growth in international travel, Indian airlines are investing in widebody and long-range narrowbody aircraft for network expansion, adding new international routes and introducing long-haul non-stop flights to key destinations.”
The ranking company asserted that the advance can be pushed by Indian airlines deploying further plane and including new routes within the international phase, in addition to their inherent benefit of superior home connectivity in contrast with overseas carriers.
The enterprise profiles of Indian carriers will strengthen consequently of their rising share in international traffic, which is extra worthwhile than the home phase.
India’s international passenger traffic grew to round 70 million in fiscal 2024, from a low of 10 million in pandemic-hit fiscal 2021, to surpass the pre-pandemic degree. The share of Indian airlines, which was rising steadily earlier, picked up tempo for the reason that pandemic.
“A noticeable shift in spending patterns has emerged after the pandemic, as evident in the increasing inclination of Indians towards international leisure travel. Increasing disposable incomes, easing visa requirements, growing number of airports and enhanced air travel connectivity are boosting international travel,” mentioned Manish Gupta, Senior Director and Deputy Chief Ratings Officer, CRISIL Ratings.
“The government’s focus on making India a hub for tourism is also expected to provide a fillip to inbound traffic,” he mentioned.
The ranking company mentioned international passenger traffic is probably going to clock a compound annual progress charge (CAGR) of 10-11 per cent over the following 4 monetary years, towards a mere 5 per cent CAGR within the 4 years earlier than the pandemic.
Indian airlines are wanting to seize a big portion of the expansion in international passenger traffic as it’s usually extra worthwhile due to greater margins and has much less intense competitors in contrast with home routes.
They have added 55 new international routes over the previous 15 months, taking their tally past 300, Crisil Ratings mentioned.
“These include direct flights originating from additional cities to popular long-haul destinations in the United States, Europe and Australia, effectively reducing flying time and eliminating layovers,” it mentioned.
India’s geographic location additionally lends itself properly to air connections, positioning the nation as a hub for international journey.
Ankit Kedia, Director, Crisil Ratings, mentioned, “To capitalise on the growth in international travel, Indian airlines are investing in widebody and long-range narrowbody aircraft for network expansion, adding new international routes and introducing long-haul non-stop flights to key destinations.”
