Why Kerala’s two private airline projects have hit an air pocket
Two private airline projects in Kerala, Air Kerala and Alhind Air, have delayed their launch plans due to financial uncertainty and the impact of the West Asia conflict. Both companies are struggling with aircraft leasing issues and broader aviation market challenges.
Why it matters
The delay highlights how regional aviation startups are vulnerable to global geopolitical tensions and tightening credit markets.
Faced with financial headwinds, market uncertainty, and the escalating West Asia conflict, Kerala’s two ambitious private airline projects – Air Kerala and Alhind Air – have hit an air pocket, forcing the airlines to postpone their immediate launch plans. Though both airlines were expected to begin operations last year (2025), uncertainty has derailed their plans, exacerbated by geopolitical tensions and investment woes.
Speaking to The Hindu , a senior official associated with Air Kerala said although the airline had gone ahead with plans to launch services from Kerala, with the Cochin international airport as the hub of its operations, delays in acquiring aircraft have upset its plans, as aircraft leasing firms have tightened leasing norms.
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