Air India targets FY27 growth after fleet overhaul and operational stabilisation.

Air India is preparing for a major growth phase in the financial year 2026–27 (FY27). A senior company executive has described the year as a turning point when the airline plans to convert recent improvements in operations and product quality into measurable business gains.
Nipun Aggarwal, Chief Commercial Officer of Air India, said in an internal message to employees that FY27 will be a “strategic inflection point” for the airline. He noted that after investing heavily in fleet upgrades, service improvements, and operational systems, the focus will now shift to delivering stronger commercial performance.
“With a strengthened fleet and upgraded services, we are positioned to expand our reach, improve connectivity, and deliver a more seamless experience for our passengers,” Aggarwal said.
Air India plans to expand its international network by adding new overseas destinations from its major hubs in Delhi and Mumbai. At the same time, it aims to optimise domestic hubs to improve operational efficiency.
A key priority is improving connectivity across the network. This includes making domestic-to-international and international-to-international transfers smoother, allowing passengers to connect between flights more easily and with fewer disruptions.
Beyond expanding routes, Air India is strengthening its commercial strategy through strategic global partnerships, upgraded premium cabins, customer-focused initiatives and artificial intelligence (AI)-driven decision-making tools.
The airline is also integrating loyalty programmes across the group. Its frequent flyer programme, Maharaja Club, is being enhanced to improve customer retention and boost revenue.
Aggarwal acknowledged that FY26 was one of the most difficult years in the airline’s recent history. Several external factors created operational challenges, including airspace closures over Pakistan, Iran, and Iraq, geopolitical tensions and the tragic AI171 incident.
Despite these difficulties, the airline managed to stabilise operations, maintain its route network, and continue implementing its long-term transformation plan. A company spokesperson said such challenging periods help define the organisation’s resilience and commitment.
Looking ahead, the focus in FY27 will be on acceleration rather than recovery.
Air India has completed its narrow-body aircraft retrofit programme. This means passengers on domestic and short-haul international flights will now experience:
Standardised cabin interiors
Upgraded seats
Improved in-flight amenities
Enhanced service consistency
The airline’s Domestic Net Promoter Score (NPS) which is a key measure of customer satisfaction, has increased tenfold over the past two years.
On the long-haul side, Air India recently introduced its first line-fit Boeing 787-9 designed specifically for the airline. The aircraft has begun operating on the Mumbai–Frankfurt route.
By the end of 2026, the airline expects to add 20 more wide-body aircraft, including retrofitted legacy Boeing 787s and new Airbus A350-1000 aircraft. These upgraded aircraft will serve major destinations across Europe, North America, and the Far East.
Air India is also placing strong emphasis on improving operational reliability. Schedule consistency, proactive disruption management, and seamless connectivity are especially important for corporate travellers.
Airspace restrictions in certain regions have increased flight times, which in turn raises the risk of missed connections. The airline is therefore focusing on better planning and customer support to manage such challenges.
Summing up the airline’s outlook, Aggarwal said FY27 will be about converting recent investments into tangible outcomes, including higher yields, greater market share, and stronger customer trust.
With a fully retrofitted narrow-body fleet, accelerating wide-body upgrades, expanded partnerships, and data-driven commercial strategies, Air India aims to transform its product and operational improvements into sustained financial growth.
Published: 28 Feb 2026, 05:25 pm IST
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