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Finance Minister Nirmala Sitharaman today said the government will launch a modified UDAN (Ude Desh ka Aam Naagrik) scheme to connect 120 destinations.
Presenting the Union Budget 2025-26, she said the modified scheme will help about four crore additional passengers in the next 10 years.
The regional connectivity scheme will also support helipads and smaller airports in hilly aspirational and northeastern regional districts, she said.
Ms Sitharaman said the government will also facilitate greenfield airports in Bihar to meet the future needs of the state.
Launched in 2016, the UDAN scheme has benefitted more than 1.4 crore passengers. Under the scheme, 619 routes connecting 88 airports, including two water aerodromes and 13 heliports, have been so far operationalised.
The Economic Survey 2024-25, which was tabled in Parliament by Ms Sitharaman Friday, said the new airports and improved regional connectivity under the UDAN scheme have improved air connectivity considerably.
"India is the fastest-growing aviation market globally. To accommodate the substantial growth in air traffic, Indian airlines have placed amongst the largest orders for aircraft globally," the document, which provides an official assessment of the economy's performance in the ongoing financial year, said.
Domestic airlines have ordered more than 1,700 planes as they look to expand their networks amid rising air traffic demand.
"Airport operators and developers, including the Airports Authority of India, are pursuing a capital expenditure plan exceeding Rs 91,000 crore from FY20 to FY25. About 91 per cent of this has been achieved by November 2024," the survey said.