Singapore Airlines (SIA) Chief Executive Goh Choon Phong has reaffirmed the airline’s support for the ongoing transformation of Air India, emphasizing that it is a long-term process requiring patience and strategic effort. Despite Air India’s record loss of US$2 billion last fiscal year and recent operational setbacks, SIA remains committed to helping the airline become a "world-class carrier."
During SIA’s recent results briefing, Mr Goh outlined the critical role India plays in Singapore Airlines’ broader multi-hub strategy, considering Singapore’s limited domestic market and capacity constraints. He discussed external challenges such as regional airspace closures and currency weakness, alongside internal issues including fleet renewal delays caused by global supply chain disruptions. However, he noted that customer satisfaction ratings have shown signs of improvement.
Long-term Investment and Strategic Outlook
Mr Goh explained that SIA’s investments, including seconding key staff to Air India, aim to ensure structural progress rather than immediate financial turnaround. He highlighted that the airline’s future growth hinges on addressing internal operational weaknesses and external pressures, with the Indian market presenting substantial growth potential given the expanding middle class and infrastructure developments.
"We want to make Air India a world-class airline with an Indian heart,"said Mr Goh. He added that airline support includes operational initiatives and strategic investments, with SIA remaining cautious about fare increases until market conditions are clearer, especially amid rising fuel costs and geopolitical tensions.
Despite a decline in profits for FY2025/2026, SIA has maintained or increased capacity on certain routes, particularly in Europe, and avoided capacity cuts despite ongoing regional tensions. The airline remains optimistic about its strategic positioning and the role India will play in its long-term growth plan.
