IIFCL offers the aviation industry wings and approves loans totaling Rs. 8,800 crore for improving infrastructure

 IIFCL offers the aviation industry wings and approves loans totaling Rs. 8,800 crore for improving infrastructure

According to Director PR Jaishankar on Sunday, the India Infrastructure Finance Company Limited (IIFCL) has approved loans for the industry totaling 8,800 crore in order to strengthen India's aviation sector and present infrastructure. 

For the construction of airport projects, the IIFCL has so far approved loans totaling over 8,800 crore with a payout of roughly 4,000 crore, he told PTI.

He emphasized the need of making significant investments in the sector in order to meet the goal of growing the nation's civil aviation industry. IIFCL has backed airports with a total project investment of over 74,000 crore, making it one of the largest financiers of airports in India. PR Jaishankar emphasized how the IIFCL is present at practically all of the country's major airports.

India has seen significant development in the airport industry over the last several years, with increased investments from the public and private sectors. This growth is mostly attributable to an increase in the share of middle-class families, the expansion of facilities at major airports, and supporting legislative frameworks.

The passenger handling capacity is anticipated to expand as a consequence of expansion from the present 350 million passengers annually to 500 million annually by the end of the current fiscal year and to 2 billion annually by 2047.

According to Jaishankar, IIFCL will continue to provide support for the construction of world-class airport infrastructure in India and look into ways to finance new airport construction projects as well as MRO facilities under the PPP model through term loans, bond subscriptions, refinancing, or credit enhancement, among other options.

With an economic multiplier of 3.1 and an employment multiplier of 6, Jaishankar, who was emphasizing the significance of the airport sector, said that it has the potential to have a profoundly significant influence on the economy.

He said that expanding airport infrastructure is essential to satisfy India's growing demand for air travel.

The National Infrastructure Pipeline (NIP) estimates that the civil aviation industry would need around 91,000 crores in capital expenditures over the next five years, up to FY25.