The Union Cabinet has approved the launch and implementation of the Regional Connectivity Scheme – Modified UDAN for ten years from FY 2026-27 to FY 2035-36. The scheme has a total outlay of Rs.28,840 crore with budgetary support from the Government of India. It aims to strengthen regional air connectivity, improve access to remote areas, and make air travel more affordable for common citizens.
Key Objectives
The scheme is designed to expand aviation access in underserved and unserved regions. It is expected to support economic growth, trade and tourism in Tier-2 and Tier-3 cities. It will also improve emergency response, healthcare access and last-mile mobility in hilly, remote and island regions.
Development of Aerodromes
Under the scheme, 100 airports are proposed to be developed from existing unserved airstrips. This capital expenditure component has an outlay of Rs.12,159 crore over eight years. The focus is on creating stronger regional aviation infrastructure and improving connectivity in line with the Viksit Bharat 2047 vision.
Support for Operations and Connectivity
The scheme provides operational and maintenance support for regional aerodromes that have limited revenue streams. It also includes:
- O&M support for around 441 aerodromes for three years.
- Development of 200 modern helipads in priority districts.
- Viability Gap Funding of Rs.10,043 crore for airline operators.
- Procurement of two HAL Dhruv helicopters and two HAL Dornier aircraft.
Background and Scheme Impact
The original UDAN scheme was launched in October 2016 to make air travel affordable and improve connectivity to Tier-2 and Tier-3 cities. Over nine years, 663 routes have become operational across 95 airports, heliports and water aerodromes. More than 3.41 lakh flights have carried 162.47 lakh passengers. The Modified UDAN scheme builds on this progress and supports Atmanirbhar Bharat through indigenous aircraft acquisition.
Last Modified: April 29, 2026