Air India seeks ₹10,000 crore capital infusion from Tata Group to strengthen finances: Report

New Delhi, Oct 31 : Air India has reportedly approached its owners  Tata Sons and Singapore Airlines  seeking a capital infusion of around ₹10,000 crore ($1.14 billion) to stabilise its finances and modernise operations amid mounting challenges, Bloomberg reported citing sources familiar with the matter.
The funding request includes support to strengthen the airline’s systems, enhance customer services, and develop in-house engineering and maintenance capabilities. Neither Air India nor Tata Sons have commented on the report yet.
Currently, Tata Sons holds a 74.9% stake in Air India, while Singapore Airlines owns the remaining 25.1%.
According to the report, the carrier expects to incur losses of nearly ₹4,000 crore due to Pakistan’s airspace restrictions, imposed amid heightened military tensions with India earlier this year.
Air India’s Managing Director and CEO, Campbell Wilson, recently addressed the airline’s safety record following the tragic AI-171 crash in Ahmedabad on June 12, which killed 241 people. The Aircraft Accident Investigation Bureau’s (AAIB) preliminary report found no procedural lapses or maintenance failures on the airline’s part.
Speaking at the Aviation India 2025 summit, Wilson said the interim report confirmed there was “nothing wrong” with Air India’s systems or operations. “However, we continue to introspect and look for ways to improve and strengthen our safety and operational practices,” he added.
The AAIB report revealed that the Boeing 787 Dreamliner, en route from Ahmedabad to London, crashed shortly after takeoff due to a sudden fuel cutoff to both engines  an issue under further investigation.
Despite these challenges, Air India remains committed to long-term restructuring under the Tata Group’s ownership, with renewed focus on fleet modernisation, safety protocols, and operational excellence.