New Delhi — The Centre is considering a ₹5,000 crore credit support plan for the aviation sector as part of a broader relief effort to shield industries from ongoing geopolitical pressures, according to a report.
As per NDTV Profit, the proposed assistance may be extended through the Emergency Credit Line Guarantee Scheme (ECLGS). The government is reportedly working on a much larger relief package—estimated at around ₹2.5 lakh crore—to support multiple sectors affected by global uncertainties.
Sources indicate that airlines could access this government-backed credit line with a borrowing cap of roughly ₹1,000 crore per carrier. The scheme may run for five years, with an option to extend, and could include a government guarantee of up to 90 percent on loans.
The aviation-specific proposal is part of a wider economic cushion being designed to offset the impact of volatile global conditions. Rising geopolitical tensions, including the US-Iran conflict, have significantly affected sectors like aviation, which is highly sensitive to fluctuations in fuel prices and international disruptions.
Separately, the Ministry of Civil Aviation recently released the second phase of rankings for DGCA-approved Flying Training Organisations (FTOs) for April 2026, showing improved training standards, with one institute moving into the top ‘A’ category. The rankings aim to boost transparency, accountability, and safety across training institutes.
Civil Aviation Minister Ram Mohan Naidu has also announced a 25 percent reduction in landing and parking charges for domestic airlines at major airports, a move intended to help keep airfares in check amid rising jet fuel costs linked to Middle East tensions.
With inputs from IANS