GIFT City: Building India's Own Aircraft Leasing Powerhouse

Civil Aviation Minister Ram Mohan Naidu recently underscored the importance of Gujarat International Finance Tech-City (GIFT City) in establishing a competitive aircraft leasing hub in India. Speaking at the "India Aircraft Leasing and Financing Summit" in Gandhinagar, Gujarat, Naidu highlighted GIFT City's role in fostering confidence, commitment, and collaboration within the aviation sector.

India's reliance on foreign lessors, primarily in Ireland and Dubai, has long shaped its commercial aircraft leasing landscape. However, with Indian airlines placing orders for 1,700 additional aircraft, Naidu stressed the urgent need to develop a robust domestic leasing ecosystem.

He further emphasized that aircraft leasing is a critical financial innovation for India's rapidly expanding civil aviation sector. “Driven by the UDAN scheme and the doubling of airports over the past decade, India has become the world's third-largest domestic aviation market,” he noted.

Looking ahead, the government aims to establish 350 airports by 2047, including 34 mega airports designed to handle two crore passengers annually. Over the next five years, 50 new airports are planned to further strengthen aviation infrastructure.

Additionally, Naidu announced a 10-year extension of the UDAN regional connectivity scheme, targeting four crore passengers and 120 new destinations across India.

News by Rahul Yelligetti.