Adani’s Navi Mumbai International Airport to Raise Rs 20,000 Crore for Phase 2 Expansion
Adani’s Navi Mumbai International Airport to Raise Rs 20,000 Crore for Phase 2 Expansion
Adani Group’s Navi Mumbai International Airport (NMIAL) has announced plans to raise Rs 20,000 crore for the second phase of the airport’s construction, with the expansion set to be operational by 2029. This move comes as the first phase of the airport, slated to be inaugurated on April 17, 2025, nears completion. Domestic operations are expected to commence in May, with international flights to follow in July.
The grand vision for the Navi Mumbai International Airport is one of monumental growth. Once fully operational by 2036, the airport aims to handle up to 90 million passengers annually, significantly contributing to the growing aviation demands of India’s commercial capital. The first phase will kick off with a declared capacity of 20 million passengers, gradually expanding in line with increasing demand. Building a greenfield airport of this scale comes with its challenges, particularly during the initial stages. The first and second phases of development are combined to avoid disruptions in future expansions, a strategy that includes laying the groundwork for metro connections, automated people movers (APM), and an underground tunnel to link terminals. According to a senior Adani official, this approach is intended to streamline expansion efforts while maintaining seamless operations once the airport becomes fully functional. The second phase will focus on developing the second terminal, expanding cargo capacity, and enhancing road and metro connectivity. This will ensure that the airport can meet the ever-growing needs of both passenger and cargo traffic as Mumbai’s commercial ecosystem continues to evolve.
Raising funds for such a large-scale project requires a comprehensive financial strategy. The Rs 20,000 crore that NMIAL plans to raise for the second phase will come in the second half of FY26. This is part of a broader financial structure that includes loans and equity investments. As of March 31, 2024, the airport had secured two term loans worth over Rs 3,900 crore. A mix of debt and equity funding has been employed, with the current ratio standing at 65% debt and 35% equity. Moving forward, officials plan to maintain a 75% debt-to-25% equity ratio to fund future expansions. The success of the greenfield phase will be critical in boosting the confidence of lenders and ensuring that future phases can access bond funding for further developments. The completion of the first phase of the project, which includes key infrastructure and passenger facilities, is expected to serve as a crucial stepping stone for lenders to consider funding brownfield expansions.
The airport will cover 1,160 hectares and feature an array of facilities, including 42 aircraft stands, 70 general aviation stands, and 7 dedicated cargo stands. The cargo capacity at the initial stage will be 0.8 million tonnes, with room for expansion. In addition to the aviation side, the non-aero side will include 53 retail outlets, and a development plan for the city side that will add further value to the surrounding area. One of the distinctive features of the Navi Mumbai International Airport is its focus on sustainability. Four fuel tanks, each with a capacity of 6,000 kilolitres, will be constructed, alongside a 1,200-kilolitre Sustainable Aviation Fuel (SAF) tank, which will be expandable as demand grows.
As the first phase of the Navi Mumbai International Airport prepares for inauguration, officials are focused on securing funding and finalising plans for the second phase, which will cement the airport’s position as a key aviation hub in India. The development of this airport aligns with the government’s broader goals to enhance infrastructure and increase connectivity across the country. The scale of the project underscores Adani Group’s ambitions to play a central role in India’s rapidly expanding aviation sector, with an eye on creating world-class facilities that can accommodate growing passenger and cargo traffic well into the future. As the airport begins operations in phases, it will not only enhance Mumbai’s connectivity but also serve as a catalyst for economic growth in the region. For both passengers and businesses, the Navi Mumbai International Airport promises to be a game-changer in India’s aviation landscape.
