Economic Survey 2022-23 highlights aviation sector’s high potential for growth

As per the Economic Survey 2022-23, credit to the aviation sector dec­li­ned by 8.7 per cent in November 2022 due to the uncertain growth pros­pects within the global aviation market. Despite that, India’s civil aviation sector holds high potential for growth, with increasing demand from the middle class; a growth in population, tourism and disposable incomes; more favourable demographics; and greater penetration of aviation infrastructure. India has become the third largest aviation market in the world, with the number of airports increasing to 147 in 2022 from 74 in 2014. Schemes such as Ude Desh ka Aam Nagrik are further supporting the se­c­tor with enhanced regional connectivity, and the government has app­roved a budget of Rs 45 billion under this scheme. Meanwhile, five further airports have been added to the Krishi Udan 2.0 scheme, bringing the total number of airports covered by the scheme to 58.