Domestic air passenger traffic rises 10% inApril, ICRA projects 7-10% growth for FY26

 

 

DOMESTIC air travel in India continued to rise, with passenger traffic registering a 10.2 per centyear-on-year(YoY)increase in April 2025, according to a recent report by ratings agency ICRA. The total number of domestic airpassengersduring themonth is estimated at 145.5 lakh, up from 132.0 lakh in April 2024. However, the growth remained flaton amonth-on-monthbasis. ICRAnoted that airline capacity deployment in April 2025 was 6.9 per cent higher than in the same month last year.

 

However, it fell by 4.2 per cent when compared with March 2025, indicating a slight slowdown in available seat capacity on a sequential basis. It said“ForApril 2025, domestic air passenger traffic was estimated at 145.5 lakh, 10.2 per cent higher than 132.0 lakh in April 2024.” For the entire financial year 2024-25 (April 2024 to March 2025), domestic air passenger traffic stood at approximately 1,653.8 lakh. This marked a 7.6 per cent increase over FY24 and was 16.8% higher than the pre-Covid level of around 1,415.6 lakh recorded in FY20. The report also noted that the international travel also saw a healthy rise. They said international passenger traffic forIndian carriers reached 338.6lakh in FY25, reflecting a strongYoY growth of 14.1 per cent. Thiswasalso49per4centhigher than the pre-Covid level of 227.3lakh, showing a significantrecovery in overseas travel demand. Looking ahead, ICRA hasmaintaineda“stable”outlookontheIndian aviationindustry.

 

Thisis supported by expectations of moderate growth in domestic air passenger numbers and a stable cost environment in FY2026. The industry is also expectedto have witnessed steady pricing power and stable yields during FY25 compared to FY24. Despite these challenges, domestic air traffic is projectedto grow at 7-10 per cent in FY26, maintaining the positive momentum.