International aircraft leasing company Avolon has forecasted that India's current passenger jet fleet will double to almost 1,100 by 2027.
According to the company''s white paper "India, a 21st Century Powerhouse", the total value of aircraft to be delivered over the coming ten years in India, at the current list prices, is projected to be $60 billion.
Currently, airlines in India operate almost 600 passenger aircraft which comprise 75 per cent of narrowbody, 11 per cent of widebody and 14 per cent of regional aircraft.
The white paper said domestic passenger demand is expected grow at an average annual rate of 9.6 per cent over the coming decade, while an 8.3 per cent growth rate is forecast for international passengers.
In 2017, 22.8 million international passengers were carried by airlines in India, which was an increase of 14 per cent on the previous year.
"Almost 117 million domestic passengers were carried in 2017, a 17.4 per cent increase on 2016," the study report said.
The country''s annual domestic passenger growth has averaged 15 per cent since 2012.
"While economic and structural barriers remain, India offers an attractive long-term growth market with opportunities in the region significantly outweighing the challenges," said Dick Forsberg, Avolon''s Head of Strategy and author of the study.
"However, the international aviation sector in India has been under-developed and, in order to achieve its full potential to support long-term economic growth, trade and tourism, it is imperative that it receives renewed focus and investment."