Adani Airports to invest ₹1 lakh crore, betting on 16% Indian aviation growth

The Adani Group, through its airport arm Adani Airport Holdings Ltd (AAHL), announced a substantial investment of ₹1 lakh crore (approximately $12 billion USD) over the next five years to aggressively expand its airport infrastructure portfolio across India. This massive capital commitment is driven by the group's bullish forecast that the Indian aviation sector will sustain mid-teens growth, projected at 15-16% annually, for the next decade or more. Jeet Adani, Director of Adani Airports, noted that this growth is inevitable given the low per-capita air travel compared to regional peers like China.

A key component of this expansion is the upcoming Navi Mumbai International Airport (NMIAL), scheduled to commence commercial operations on December 25. Developed at an initial cost of ₹19,650 crore, the first phase will alleviate severe capacity constraints at Mumbai’s existing Chhatrapati Shivaji Maharaj International Airport (CSMIA) by adding 20 million annual passenger capacity, with long-term plans to scale up to 90 million passengers. Adani currently operates eight airports nationwide, controlling roughly 23% of passenger movements and 33% of cargo traffic, making it India's largest private airport operator.

Looking ahead, AAHL is preparing for further expansion through government privatization efforts. The group confirmed it will be "100 per cent very aggressive" in bidding for the next round of airport privatizations, which includes 11 facilities identified by the Indian Civil Aviation Ministry. Beyond infrastructure development, the group is focused on scaling ancillary services, such as non-aeronautical retail and city-side developments, and is strategically separating its core airport infrastructure business from its aircraft services business to create diversified, long-term revenue streams.