Faced with record financial losses, Air India has sought about $1.5 billion from its owners Tata Sons and Singapore Airlines. This is one of Air India’s biggest funding requests since the Tata group acquired the former state-owned company in 2022.

Air India and Air India Express have collectively reported a loss of about $2.33 billion in the fiscal year ended March, double the previous year’s. The internal crisis is also negatively affecting the profits of its current partner Singapore Airlines. Although the process has been proposed to be completed in stages, Air India has sought this capital quickly, which also requires the consent of Singapore Airlines, which holds a 25 percent stake, for implementation.

Air India is facing multi-faceted problems in modernizing its existing aircraft and carrying out internal renovations. On top of this, Pakistan’s airspace restrictions, disruption of international routes due to the war situation in the Middle East and a fatal plane crash have compounded the airline’s crisis. Air India has also requested Airbus and Boeing to postpone the delivery schedule of hundreds of aircraft to reduce losses and cut costs.

Source: NDTV