India's Domestic Air Passenger Traffic Hits 16.54 Crore in FY25

New Delhi – India's domestic air passenger traffic rose to 16.54 crore in FY25, reflecting a year-on-year (YoY) growth of 7.6 per cent and a significant 16.8 per cent increase compared to the pre-Covid level of 14.15 crore in FY20, according to a report released on Friday by credit rating agency ICRA.

International passenger traffic carried by Indian airlines also witnessed robust growth, reaching 3.38 crore in FY25 — a 14.1 per cent increase YoY and a 49 per cent rise from the pre-pandemic figure of 2.27 crore.

In April 2025 alone, domestic air traffic was estimated at 1.45 crore passengers, marking a 10.2 per cent increase compared to April 2024. Airlines ramped up their capacity accordingly, with a 6.9 per cent rise in deployment over the same period last year.

The domestic aviation industry achieved a strong passenger load factor (PLF) of 86 per cent for FY25, indicating sustained demand and improved operational efficiency across carriers.

The highest single-day domestic air traffic was recorded on February 23, with 5,35,343 passengers flying across the country, fueled in part by travel demand surrounding the Maha Kumbh event in Prayagraj.

Looking ahead, ICRA has maintained a 'Stable' outlook for the Indian aviation sector. Domestic passenger traffic is projected to grow by 7-10 per cent in FY26, while international traffic may expand by 15-20 per cent.

Despite these positive trends, the report noted a mixed financial picture across the industry. While some airlines benefit from strong liquidity and backing from financially stable parent companies, others continue to face credit and liquidity challenges in the near term, even as their financial positions show gradual improvement.

As per ICRA’s previous report, domestic air traffic in March 2025 was estimated at 148.8 lakh, representing an 11.3 per cent annual increase and a 5.9 per cent rise from 140.4 lakh in February.

With inputs from IANS