Air India seeks S$1.9B from owners including SIA, Kenneth Tiong says ‘no one… owes Air India a living’

WP MP Kenneth Tiong opposes using Temasek funds to prop up Air India via SIA

Workers’ Party MP Kenneth Tiong has opposed any future use of Temasek funds to support Air India through Singapore Airlines (SIA).

In a Facebook post published on Wednesday (26 Aug), Mr Tiong said Air India had reportedly asked its owners for another US$1.5 billion (S$1.9 billion).

SIA owns around 25% of Air India, while Temasek is SIA’s largest shareholder.

Mr Tiong said this meant the funding request was “not only a question for private shareholders”.

Air India could require more funding

Reuters reported that Air India is seeking US$1.5 billion (S$1.9 billion) in fresh equity funding from Tata Sons and SIA.

Two people familiar with the matter said the funding could be provided in tranches, with SIA contributing according to its shareholding.

Air India recorded losses of $S$3.56 billion for the financial year that ended March 2026, Press Trust of India reported.

The losses were more than double those recorded the previous year and have also affected SIA’s profits.

SIA has reported a net loss of S$76 million in the first quarter (1Q) of this financial year, despite enjoying record revenue.

The downturn was attributed to a sharp rise in fuel costs and losses from Air India, the national carrier said in a news release sent to MS News on 28 July.

Mr Tiong noted that Tata Sons chairman N Chandrasekaran had previously said Air India’s turnaround could take up to a decade.

Reuters also reported that one source expected Air India to continue requiring capital infusions in the coming years.

Kenneth Tiong says SIA should stand on its own feet

Mr Tiong said he would not support using Temasek’s funds to prop up Air India through SIA.

“No one, least of all Singaporeans, owes Air India a living,” he wrote.

“I will not support, nor expect, any future use of Temasek’s funds to prop up Air India via Singapore Airlines.”

He added that if SIA wanted to continue investing in Air India, it should do so “on its own two feet, and not on Temasek’s”.

Mr Tiong also pointed to SIA reporting a loss in the most recent quarter despite record revenue.

Air India has faced several challenges as it undergoes a major turnaround, including disruptions to its international network, the Pakistan airspace ban on Indian carriers and the fallout from a 2025 crash that killed 260 people.

MP asks Transport Minister about SIA’s designated status

In the post, Mr Tiong also said that he filed an oral question for the 8 Sept parliamentary sitting.

He will ask the Minister for Transport whether Air India’s losses have been assessed against SIA’s ability to provide essential transport services.

He will also ask whether the losses trigger the notification duty associated with SIA’s designated status under the Civil Aviation Authority of Singapore Act.

According to the Straits Times (ST), SIA has said it is working closely with Tata Sons to support Air India’s transformation programme, but declined to comment on the airline’s finances.

Tata Sons chairman Chandrasekaran is expected to step down in Feb 2027 following disagreements with the group’s controlling charitable trust, with the disagreements being reportedly partly linked to Air India’s losses.