India's aviation minister says government will review airline ownership proposals by airport operators

During the signing ceremony for the next phase of the Udaan initiative, Aviation Minister Rammohan Naidu emphasized that India's growing travel demand requires a minimum of five airlines each operating 100 aircraft. He announced that the government is open to proposals from airport operators who want to own airlines, stating that no regulation currently bars such ownership outside the existing OMDA arrangements for Delhi and Mumbai airports.

Naidu noted that even smaller towns are seeking nearby airports, and offering more airline choices could meet that demand. While the ministry is actively supporting the idea, it has not reached a final decision. He cited the lack of any rule preventing private operators like DIAL from entering the airline business and called for a balanced approach. The statement comes as India continues to expand its airport network under public-private partnership models involving AAI.