The aviation sector anticipates fiscal policies supportive of aircraft leasing industry
In December 2023, when the global leasing watchdog Aviation Working Group (AWG) downgraded India from positive to negative, it shocked many Indian air carriers. The primary reason for the negative ranking was the delay faced by foreign lessors in repossessing aircrafts. The downgrade is anticipated to raise the cost of leasing plans for India’s commercial airlines.
In India, with its anticipated increase in demand for aviation service providers, developments related to aircraft leasing hold significant importance. As emphasized by PricewaterhouseCoopers in its report, ‘Aircraft Leasing in India: Ready to Take Off,’ approximately 80 percent of the total commercial fleet in India is leased, compared to 53 percent globally.
