Singapore Airlines (SIA) will carefully review Air India’s USD 1.5 billion capital request, the airline said Thursday. The review will assess Air India’s business strategy and SIA’s own funding needs. 

SIA owns 25.1% of Air India, while Tata Sons controls the remaining 74.9% stake. The proposed funding aims to support Air India’s ongoing transformation programme.

The statement came after Singapore MP Kenneth Tiong questioned further funding for loss-making Air India. He opposed any use of Temasek funds through SIA to support the Indian carrier. Tiong said Air India’s funding request also raised concerns beyond private shareholders in Singapore. 

SIA said its board follows a disciplined process before approving major capital commitments. The process considers operating cash flow, aircraft purchases, product investments and multi-hub expansion plans. Air India forms part of SIA’s broader multi-hub strategy and long-term growth plans.

SIA also confirmed plans to work with Tata Sons on Air India’s transformation as a minority shareholder. The airline has not confirmed whether it will approve the proposed capital infusion.

Air India’s funding needs have increased as its turnaround faces mounting financial pressure. The airline recorded a loss of Rs. 22,238 crore in FY2026, according to its latest financial report.

The proposed USD 1.5 billion funding could rank among Air India’s largest shareholder funding exercises since Tata Group regained control. Tata Sons paused fresh equity support during FY2026, with its Air India investment unchanged at Rs. 22,618 crore.

Tiong has also sought answers from Singapore’s transport minister about future funding concerns. The issue is scheduled for discussion during Singapore Parliament’s September 8 sitting.

SIA’s spokesperson said, “The SIA Group’s capital allocation follows a disciplined evaluation process.” The statement signals that Air India’s request faces a detailed financial and strategic review. 

Also Read: IndiGo Shares Hold Firm as Airline Appoints New CFO Amid Leadership Reshuffle