Airport Capex In India To Cross Rs 60,000-Cr Mark: Crisil

New Delhi: Indian airports are projected to incur a cumulative capital expenditure (capex) of over Rs60,000 crore in the three years through fiscal 2027 to add requisite infrastructure for 65 million passengers per annum, a report showed on Thursday.

This is 12 per cent increase compared to Rs53,000 crore during fiscals 2022-2024, according to Crisil Ratings.

In addition to expected growth in passenger traffic, increase in tariffs and spending within the airport ecosystem will lift revenue of private Indian airports at an average growth rate of 17 per cent between fiscals 2025 and 2027.

That, coupled with improved funding access and a predictable regulatory regime, will support the strong credit profiles of private airports, noted the report of 11 private airports, which accounted for an estimated 60 per cent of overall passenger traffic and 95 per cent of private passenger traf-fic in fiscal 2024.

“The number of passengers at Indian airports is expected to clock a CAGR of 8-9 per cent over fiscals 2025-2027 from 376 million last fiscal,” said Manish Gupta, Senior Director and Deputy Chief Ratings Officer,

CRISIL Ratings.

“Growth in domestic traffic, which comprises over 80 per cent of overall volume, will ride on rising demand from the business and leisure segments and government push to increase penetra-tion of air travel,” said Gupta.