
Air India targets FY27 growth through fleet upgrades, network expansion, and strategic partnerships for enhanced passenger experience
Tata Group-led Air India is aiming to convert operational improvements and product upgrades into measurable commercial growth in fiscal year 2027 (FY27), a senior airline official said.
Accordingly, Nipun Aggarwal, Chief Commercial Officer, Air India, described FY27 as a strategic inflection point for the airline, emphasising the goal of turning recent investments and operational enhancements into tangible results.
“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,” he said in an internal Friday post to employees which was reviewed by businessline.
Besides, the airline plans to expand its footprint with new international destinations from Delhi and Mumbai while optimising domestic hubs.
Focus on connectivity
Notably, the focus on connectivity includes enhancing domestic-to-international and international-to-international transfers to ensure smoother journeys across the network.
Apart from network expansion, Air India is leveraging strategic partnerships, premium cabin upgrades, customer-centric initiatives, and artificial intelligence (AI)-driven decision frameworks to strengthen commercial performance.
Furthermore, loyalty programmes, including the Maharaja Club, are being integrated across the group to enhance customer retention and drive revenue growth.
According to Aggarwal, FY26 was one of the most challenging years in the airline’s recent history. Airspace closures across Pakistan, Iran and Iraq, geopolitical volatility affecting demand, and the tragic AI171 incident created significant operational headwinds.
Despite these challenges, the airline stabilised operations, protected its network, and continued advancing its transformation agenda. “Periods like these clarify who we are as an organisation,” said a company spokesperson.
Upgraded interiors
Looking ahead, FY27 is focused on acceleration rather than recovery. The narrow-body retrofit programme is complete, delivering consistent cabin standards, upgraded interiors, enhanced in-flight amenities, and elevated service.
Additionally, Domestic Net Promoter Scores have grown 10-fold over the past two years. On the wide-body side, the first line-fit Boeing 787-9, designed specifically for Air India, began operations on the Mumbai-Frankfurt route. By the end of 2026, 20 additional wide-body aircraft, including retrofitted legacy 787s and new Airbus A350-1000s, will carry the upgraded product across Europe, North America, and the Far East.
Air India is also prioritising operational reliability. Aggarwal pointed out that schedule consistency, proactive disruption management, and seamless connectivity are critical, particularly for corporate clients. Extended flight times due to airspace constraints have heightened misconnection risks, necessitating proactive planning and customer support.
“With structural tailwinds, a fully retrofitted narrowbody fleet, accelerating widebody upgrades, strengthened global partnerships, and a sharpened commercial framework, FY27 is about converting product, partnerships, and data into yield, market share, and customer trust,” Aggarwal said.
Published on February 27, 2026