Akasa Air has secured a ₹740 crore working capital loan from IndusInd Bank under the Emergency Credit Line Guarantee Scheme (ECLGS), becoming the second Indian airline after SpiceJet to access the government-backed funding.
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Akasa Air has secured ₹740 crore working capital loan from IndusInd Bank under the Emergency Credit Line Guarantee Scheme (ECLGS).The Mumbai-headquartered airline is the second carrier, after SpiceJet, to avail of funding under the scheme approved by the Union Cabinet in May to shore up airlines’ liquidity.“We are grateful to the Government of India for introducing the ECLGS for scheduled Indian carriers. The scheme provides timely support to the aviation sector and we are pleased to have participated in this initiative,” the airline said. Akasa Air proposes to use the funds for normal business operations.Akasa Air completes four years on Friday. Currently,, it operates 40 Boeing aircraft to 36 destinations and is expanding its network as it receives more planes.Akasa Air founder and CEO Vinay Dube said the airline remains well-capitalised right now.“We will see how the year pans out. There is still volatility in fuel and foreign exchange rate due to the war and it is too early to say on profitability for the full year. However, that said it does not change our aspiration to launch an IPO in the next 2-4 years,” Dube said.While a tough operating environment impacts the airline, it is better able to withstand external shocks due to its larger scale of operations and improved execution, among other factors.Published on August 6, 2026
