GURUGRAM- IndiGo Airlines (6E) has begun work on a new maintenance, repair, and overhaul (MRO) facility in Bengaluru (BLR). Alongside this project, the airline is increasing the proportion of aircraft it owns or holds on finance leases, targeting 30–40 percent of its fleet by 2030.
The details came during IndiGo’s annual general meeting, where leadership outlined plans to support long-term growth.
Currently, IndiGo operates 416 aircraft, of which 69 are owned or finance-leased. The figure has doubled over the past year, and management expects further growth as the carrier expands across domestic and international markets, Aneesh Phadnis from Hindu BusinessLine reported.

IndiGo Buying More Aircraft
IndiGo’s chief financial officer, Gaurav Negi, explained to BusinessLine that building a larger pool of owned and finance-leased aircraft will provide capital efficiency, reduce supply chain risks, and lower long-term operating costs.
The airline has a backlog of 920 aircraft orders, with plans to grow its fleet to around 600 aircraft by 2030. Between 30 and 40 percent of those aircraft will be fully owned or finance-leased, compared with 16.5 percent today.
This approach contrasts with dry leasing, where aircraft must be returned to lessors at the end of lease terms. By shifting toward ownership, IndiGo strengthens control over its assets while creating stability for its long-term network plans.

Strong Financial Position
For FY25, IndiGo reported a net profit of ₹7,258 crore and closed the year with free cash reserves of ₹33,150 crore. While the airline announced a dividend of ₹10 per share earlier this year, some shareholders called for higher payouts.
Negi responded that the airline’s current priority is reinvestment in growth projects, including fleet expansion, infrastructure, and customer-focused initiatives.
The emphasis, according to leadership, is on creating sustainable long-term value rather than short-term shareholder returns. Investments are being directed into multiple areas such as cargo services, digital tools, loyalty programs, and in-flight enhancements.

Bengaluru MRO Development
A major part of IndiGo’s growth strategy is its own maintenance infrastructure. Construction has started on a new MRO facility at Kempegowda International Airport, Bengaluru (BLR). CEO Pieter Elbers confirmed that the company plans to invest around ₹1,000 crore in the project over the next two years.
Initially, the facility will focus on IndiGo’s fleet maintenance. However, Elbers indicated that future expansion could see the MRO handle work for other airlines, positioning IndiGo as a potential player in India’s aviation services sector.

Expanding International Reach
IndiGo currently takes delivery of roughly one new aircraft every week and expects this pace to continue until 2035.
Elbers noted that Indian carriers still hold a relatively small share of international markets, particularly to Europe, and that IndiGo aims to grow its presence there.
This aligns with the airline’s larger strategy of capitalizing on India’s strong and steady air travel demand.
The company has also introduced new premium options such as IndiGo Stretch, and its loyalty program has already attracted more than four million members within a year.
About one-third of bookings are made via the airline’s website or online travel platforms, and efforts are underway to further improve digital engagement and ancillary sales.

Bottom Line
Chairman Vikram Mehta highlighted that despite geopolitical uncertainties and cost pressures, India’s air travel demand remains strong, supported by broader economic growth.
This resilience has encouraged IndiGo to stay on course with its investment-heavy strategy, focusing on long-term competitiveness rather than short-term caution.
With rising fleet ownership, a dedicated MRO facility in Bengaluru, and continuous digital and service upgrades, IndiGo is positioning itself to maintain its leadership in India while expanding internationally.
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