India to play major role in Asia Pacific aviation boom: IATA

Dhaka: India has emerged as a key driver of air traffic growth in the Asia Pacific region, projected to see a massive surge in passenger numbers in the coming decades, according to the International Air Transport Association (IATA).

Sheldon Hee, IATA's Regional Vice President for Asia Pacific, said India has been a significant player in the region's growth story for the last several years, adding that the country is among the world's fastest-growing domestic civil aviation markets.

"The growth in the Asia Pacific has been strong over the last 5–10 years and will continue to be strong in the next decade or so," he said.

The region is projected to add 2.4 billion passengers between 2024 and 2044, growing from 1.7 billion to 4.1 billion. Hee identified infrastructure, taxation, overregulation, and sustainable growth as the key challenges facing the region.

To address capacity constraints, airport capital expenditure in Asia Pacific is expected to account for more than half of the projected USD 2.4 trillion in global airport investment by 2040.

Several airports in the region are slated for major expansion, with Delhi targeting a capacity of 150 million passengers per annum (mppa) and Singapore's Changi aiming for 140 mppa over the next two decades.

Hee also highlighted aviation's broader economic contribution, noting that air transport accounts for around 2.5% of GDP and 2.2% of employment across the region. For every USD 1 of value added in aviation, an estimated USD 3.70 is generated in other sectors.

Hee made the remarks at a briefing on the sidelines of the 82nd IATA Annual General Meeting (AGM) and World Air Transport Summit (WATS), held in the Brazilian city from June 6–8. Around 1,500 industry leaders, government officials, and media representatives attended the summit.