ICRA revises Indian aviation outlook from negative to stable

Investment, Information and Credit Rating Agency (ICRA) has revised its outlook for Indian aviation from negative to stable taking into account the recovery in domestic passenger traffic. Going ahead the agency expects domestic-passenger traffic to reach 145-150 million in FY24, way beyond the pre-pandemic levels. ICRA expects this traffic to grow at 8-13% in FY24, after the 55-60% growth in FY23. Apart from the healthy growth in demand, another reason for the change in outlook is industry’s improved pricing power. Suprio Banerjee, vice president & sector head of corporate ratings at ICRA, said: “The pace of recovery in industry earnings