New Launch - India Real Estate Report 2026.
Prime Minister Narendra Modi has launched the Modified UDAN Scheme with a total outlay of ₹28,840 crore over the next 10 years to strengthen regional air connectivity across India. The revamped programme aims to make air travel more accessible while expanding airport infrastructure, improving connectivity to underserved regions and supporting the country's long-term aviation growth. The launch took place alongside the inauguration of the new terminal building at Jodhpur Airport, highlighting the government's continued focus on modernising aviation infrastructure.
What The Modified UDAN Scheme Includes
The revised scheme introduces several new measures to improve regional aviation and make more locations accessible through affordable air travel.
- Total investment of ₹28,840 crore over a 10-year period.
- Development of 100 airports from existing unserved airstrips.
- Construction of 200 modern helipads in remote and difficult regions.
- Operational support for approximately 441 aerodromes.
- Viability Gap Funding for airline operators to improve route sustainability.
The government believes these measures will strengthen connectivity to Tier-2 and Tier-3 cities while encouraging balanced regional development across the country.
Major Focus On Airport Infrastructure
A significant portion of the funding has been allocated towards developing aviation infrastructure. Around ₹12,159 crore will be invested in converting existing unserved airstrips into operational airports over the coming years. The scheme also includes financial support for airport operations during their initial years to improve long-term sustainability.
- 100 airports to be developed.
- Improved connectivity for underserved regions.
- Better airport infrastructure in smaller cities.
- Enhanced passenger facilities and operational efficiency.
These investments are expected to create a stronger regional aviation network while making smaller airports commercially viable.
Support For Indigenous Aviation
Regional connectivity will also be strengthened through the procurement of domestically manufactured aircraft. Under the initiative, the government plans to acquire HAL Dhruv helicopters for Pawan Hans and HAL Dornier aircraft for Alliance Air, supporting the Atmanirbhar Bharat programme while expanding regional operations.
- Procurement of indigenous aircraft.
- Support for domestic aerospace manufacturing.
- Improved connectivity in remote and hilly regions.
- Expansion of regional airline operations.
The initiative combines infrastructure development with support for India's aviation manufacturing ecosystem.
Expected Benefits For Regional India
The modified scheme is expected to improve access to affordable air travel, encourage tourism, boost trade and strengthen economic development in smaller cities. Better regional connectivity can also improve access to healthcare, emergency services and business opportunities in remote areas.
- Affordable air travel for more citizens.
- Growth in tourism and regional commerce.
- Better connectivity to remote locations.
- Employment generation through aviation infrastructure.
The programme forms part of the government's broader vision to expand India's aviation network while ensuring that smaller cities and underserved regions become better connected to the national economy.
Also Read: Delhi CM Launches 'Delhi Next' to Drive Civic-Tech Innovation
Key Highlights
- PM Modi launched the Modified UDAN Scheme with a ₹28,840 crore outlay.
- The programme will run for 10 years.
- 100 airports and 200 helipads are planned under the initiative.
- The scheme includes operational support and funding for regional airlines.
- Indigenous aircraft procurement is also part of the programme.
The Modified UDAN Scheme represents a major investment in India's regional aviation sector. By expanding airport infrastructure, supporting airline operations and improving connectivity to smaller towns and remote areas, the initiative aims to make air travel more affordable and accessible while contributing to balanced economic development and long-term growth of the country's aviation ecosystem.
Enjoyed this update? Visit PropTech Pulse for more real estate news, investment insights, and property market trends.
