Indian Aviation Faces Rs 1.8 Lakh Crore Loss This Year, Airlines in Dire Straits

• Indian aviation industry projected to incur a net loss of Rs 170-180 billion in FY2025-26, significantly higher than previous year.
• Domestic air travel growth impacted by cross-border tensions, adverse weather, passenger hesitation, and high US tariffs.
• International passenger traffic expected to provide relief with 7-9% growth in FY2025-26 due to e-visa and tourism focus.
• Rising Aviation Turbine Fuel (ATF) prices and a weakening rupee against the dollar are increasing operational costs.
• New aircraft deliveries and eventual normalization of operations are expected to reduce losses in FY2026-27.