EconomyThursday, 4 June 2026·Hindu Tamil Thisai

Union Cabinet approves ₹10,000 crore fund to cushion airline sector against jet fuel price rise

The Union Cabinet approved a ₹10,000 crore fund in June 2026 to help airlines face rising aviation turbine fuel prices and operating costs.

Key highlights

Direct fact

In June 2026, the Union Cabinet chaired by Prime Minister Narendra Modi approved a ₹10,000 crore fund for the aviation sector to offset the sharp rise in aviation turbine fuel prices.

Key specifics

  • The fund size approved by the Union Cabinet is ₹10,000 crore.
  • The decision was taken under Prime Minister Narendra Modi’s chairmanship in June 2026.
  • Domestic airline fuel prices had risen by ₹8,289.04 per kilolitre, or 8.56%, to ₹1,04,927.18.
  • Domestic air traffic in April fell 4.2% month-on-month to about 1.38 crore passengers.
  • The article also notes a ₹9,585 crore, 2-year project for cleaner transport in the Delhi-NCR region.

Exam lens

Question type: Economy and government policy, data-based MCQ; key facts: ₹10,000 crore fund, ATF price rise, 4.2% fall in April traffic, ₹1,04,927.18 per kilolitre. TNPSC may ask which Cabinet decision was taken to support airlines during fuel-price volatility.

Union CabinetaviationATFeconomy
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