Centre to fund 80% of viability gap for Himachal air connectivity

The Ministry of Civil Aviation announced that the central government will shoulder the majority of the financial gap needed to make air services viable in the hilly state of Himachal Pradesh. Under the scheme, 80 per cent of the viability gap funding (VGF) will be provided by the Centre, while the remaining 20 per cent will be sourced from the state government and other stakeholders. The move aims to improve connectivity to remote districts, boost tourism and create economic opportunities, officials added. The funding will be allocated to projects such as runway upgrades, terminal facilities and navigation aids at selected airports, with implementation expected to begin after the necessary clearances. The initiative aligns with the government's broader push to enhance regional air connectivity under the UDAN scheme.