Temasek backs Singapore Airlines' Air India bet, says turnaround will take years to complete

Temasek says it backs Singapore Airlines’ investment in Air India, arguing that the turnaround will take years due to complex, multi-year operational and integration challenges. The statement comes after concerns were raised about funding a loss-making carrier. Singapore Airlines holds a 25.1% stake in Air India, while Tata Sons acquired the airline from the Indian government in January 2022. Temasek noted SIA’s goal to build a second hub beyond Singapore, calling India the world’s third-largest air transport market after the US and China. Financially, Singapore Airlines Group’s net profit fell 57% to SGD 1.184 billion in the fiscal year ended March 2026, while Air India’s loss exceeded SGD 3.56 billion. Temasek also cited earlier comments that Air India may seek an additional USD 1.5 billion.