New Delhi, Air passenger traffic in the country is estimated to reach a record high of 407-418 million in the current financial year and revenues of select airport operators are expected to grow by 15-17 per cent during the same period. Rating agency ICRA said on Thursday.
Traffic is expected to reach 376.4 million in the fiscal year ending March 2024, surpassing pre-Covid levels by 10 percent.
In a report, ICRA said total traffic is expected to see a healthy growth of around 8-11 per cent year-on-year to around 407-418 million in FY2025, driven by strong growth in both leisure and business travel. Supported by pick-up. Connectivity to new destinations in the domestic sector and continued growth in international travel.It said that the revenue of Indian airport operators is estimated to grow by 15-17 percent on an annual basis in the current financial year ending March 2025.
ICRA's sample set of airport operators includes the Airports Authority of India (AAI) as well as operators of Delhi, Hyderabad and Cochin international airports.
“The improvement in Indian airport passenger traffic is one of the best compared to other major global peers. India's share in global passenger traffic in CY2023 was 4.2 per cent, and its share in passenger traffic has improved from 3.8 per cent in CY2019 .
“While global passenger traffic reached only 96 per cent of global passenger traffic in CY2023, Indian airport passenger traffic reached 10 per cent of pre-Covid levels due to strong economic growth as well as the addition of new airport routes.Indian air passenger traffic is expected to outperform the global trend,” said Vinay Kumar G, Vice President and Sector Head, Corporate Ratings, ICRA.
According to the rating agency, airport operators, regulators and other stakeholders have made significant progress in resolving long-pending issues – cost of equity, returns on security deposits, treatment of foreign exchange losses and real estate income.
Traffic is expected to reach 376.4 million in the fiscal year ending March 2024, surpassing pre-Covid levels by 10 percent.
In a report, ICRA said total traffic is expected to see a healthy growth of around 8-11 per cent year-on-year to around 407-418 million in FY2025, driven by strong growth in both leisure and business travel. Supported by pick-up. Connectivity to new destinations in the domestic sector and continued growth in international travel.It said that the revenue of Indian airport operators is estimated to grow by 15-17 percent on an annual basis in the current financial year ending March 2025.
ICRA's sample set of airport operators includes the Airports Authority of India (AAI) as well as operators of Delhi, Hyderabad and Cochin international airports.
“The improvement in Indian airport passenger traffic is one of the best compared to other major global peers. India's share in global passenger traffic in CY2023 was 4.2 per cent, and its share in passenger traffic has improved from 3.8 per cent in CY2019 .
“While global passenger traffic reached only 96 per cent of global passenger traffic in CY2023, Indian airport passenger traffic reached 10 per cent of pre-Covid levels due to strong economic growth as well as the addition of new airport routes.Indian air passenger traffic is expected to outperform the global trend,” said Vinay Kumar G, Vice President and Sector Head, Corporate Ratings, ICRA.
According to the rating agency, airport operators, regulators and other stakeholders have made significant progress in resolving long-pending issues – cost of equity, returns on security deposits, treatment of foreign exchange losses and real estate income.
