Air India, the national carrier of India, is reportedly seeking a substantial financial injection of at least ₹100 billion ($1.14 billion) from its owners, Singapore Airlines and Tata Sons. This move comes as part of the airline's efforts to overhaul its systems and services.

Funding Request Details

The funding request from Air India is aimed at supporting several key initiatives:

• Overhauling systems and services
• Developing in-house engineering departments
• Enhancing maintenance capabilities

Ownership Structure and Funding Approach

The financial support, if approved, would be structured proportionally to the ownership stakes:

Background and Recent Developments

• Tata Group acquired Air India in 2022, marking a significant change in the airline's ownership.
• The airline has faced recent challenges, prompting the need for substantial investment in its operations and infrastructure.

Stakeholder Responses

Singapore Airlines has confirmed its commitment to supporting Air India's transformation programme, stating that it is working closely with Tata Sons in this regard.

Leadership Commitment

Air India's CEO has expressed a strong commitment to improving the carrier's internal practices, signaling a dedication to addressing the challenges faced by the airline and enhancing its overall performance.

Fleet Modernization Progress

In a significant development, Air India has completed the retrofit of 27 legacy A320 neo aircraft, adding premium economy class seats as part of a $400 million fleet modernization initiative. Key points of this retrofit program include:

• 4,428 new seats were installed across economy, premium economy, and business class configurations
• Air India now operates 104 A320 family aircraft with new or upgraded interiors
• These aircraft serve 3,024 weekly flights across 82 domestic and short-haul international routes

Current Fleet and Operations

• Air India currently has an operational fleet of around 190 planes
• The airline operates approximately 4,500 flights weekly

Future Plans

• Air India plans to complete Boeing 787-8 refurbishment by mid-2027
• Boeing 777 retrofit is expected to be completed by early 2028
• The first new Boeing 787 Dreamliner is expected to join the fleet between December and January

Looking Ahead

The requested financial support, if granted, could play a crucial role in Air India's efforts to modernize its operations, improve safety measures, and enhance its competitive position in the global aviation market. The recent completion of the A320 neo retrofit demonstrates the airline's commitment to upgrading its fleet and improving passenger experience. As the situation develops, stakeholders will be watching closely to see how these investments and upgrades impact the airline's transformation and future prospects.

Air India, the national carrier of India, has announced a significant operational change at Delhi's Indira Gandhi International Airport. Starting October 26, 2025, the airline plans to relocate 60 of its 180 daily domestic flights from Terminal 3 to Terminal 2. This move is part of the airline's strategy to support expansion activities at Terminal 3 while maintaining its international operations.

Key Changes in Flight Operations

• Domestic Flight Relocation: 60 out of 180 daily domestic flights are expected to move to Terminal 2
• International Flights: All international flights are planned to continue operating from Terminal 3
• Flight Number Identification: Flights departing from Terminal 2 are set to have flight numbers beginning with 'AI1XXX'
• Implementation Date: October 26, 2025, coinciding with Air India's Northern Winter Schedule launch

Expansion of Services

The relocation coincides with Air India's plans to increase both domestic and short-haul international services. Notable expansions include:

Additionally, Air India aims to strengthen its domestic network by:

• Adding frequencies to destinations in Rajasthan
• Enhancing connectivity across Madhya Pradesh and Gujarat

Fleet Modernization Progress

Air India reports progress in its fleet modernization program:

• 26 out of 27 legacy A320neo aircraft have been retrofitted
• New three-class cabin interiors have been installed

This modernization effort aligns with the airline's commitment to improving passenger experience and operational efficiency.

The strategic relocation of flights and expansion of services demonstrate Air India's efforts to optimize its operations and enhance its market presence. Passengers are advised to check their flight details and terminal information when traveling from Delhi airport after October 26, 2025.