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Cabinet chaired by Narendra Modi okays Modified UDAN with Rs 28840 crore till 2035 36 to boost regional air connectivity, airports, helicopters, seaplanes and Northeast links.
Cabinet chaired by Narendra Modi okays Modified UDAN with Rs 28840 crore till 2035 36 to boost regional air connectivity, airports, helicopters, seaplanes and Northeast links.(Representative Image)
The Union Cabinet on Wednesday approved the Modified UDAN scheme with a financial outlay of Rs 28,840 crore for a period of 10 years, from 2026-27 to 2035-36, in a major push to strengthen regional air connectivity across India.
The decision was taken at a Cabinet meeting chaired by Prime Minister Narendra Modi.
The Ministry of Civil Aviation said the revamped scheme aims to improve last-mile air access, support affordable travel, and further integrate underserved and remote regions into the country’s aviation network.
Briefing the media after the Cabinet meeting, Union Minister Ashwini Vaishnaw said the scheme will play a key role in implementing the Prime Minister’s vision of using air connectivity to boost economic growth, tourism, trade, and inclusion in Tier-II and Tier-III cities.
The Modified UDAN is expected to improve connectivity in remote, hilly, and aspirational districts while also helping develop tourism circuits and supporting the operation of regional aerodromes and airstrips.
A major component of the scheme is the development of 100 airports from existing underserved airstrips. Under the proposal, 29 such airstrips will be upgraded. This move is designed to align with the government’s broader aviation expansion plan under the Viksit Bharat 2047 vision.
The government also announced support for helicopter services in hilly, remote, and island areas. To improve accessibility in regions with challenging terrain, Viability Gap Funding (VGF) will be provided for 50 helicopter routes over the next decade.
In addition, the scheme includes dedicated support for seaplane services and the development of water aerodromes, with the government planning to revive 25 such routes to improve connectivity in difficult geographies.
The Cabinet also approved a separate initiative under the modified scheme for the Northeast, under which the government will procure two HAL-built Dornier aircraft and two HAL Dhruv helicopters. These will be operated by Alliance Air to improve air access in the region.
The Ministry said the revamped scheme is expected to provide a strong boost to domestic aviation while making regional air travel more accessible and affordable for citizens.
Launched in 2016, the original UDAN scheme has helped operationalise several airports and air routes across India. The modified version aims to expand that success with greater focus on infrastructure, connectivity gaps, and regional inclusion.
Delhi, India, India
March 25, 2026, 5:40 PM IST
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