ECONOMY & INFRASTRUCTURE
Infrastructure Projects
Union Government Revamps Regional Connectivity Scheme: Modified UDAN 2026 Unveiled
The Central Government is set to launch a revamped version of the UDAN (Ude Desh ka Aam Nagrik) regional air connectivity scheme on June 20, 2026.
The scheme features a comprehensive budget of Rs 28,840 crore and is structured for a 10-year implementation timeline extending from FY 2026-27 to FY 2035-36.
The primary highlight is the construction of 100 new aerodromes supported by a capital expenditure (CAPEX) budget of Rs 12,159 crore over eight years.
A total of Rs 10,043 crore is designated for Viability Gap Funding (VGF) to incentivize airlines to operate on unviable regional routes, alongside Rs 2,577 crore for O&M support targeting roughly 441 aerodromes.
Exam Perspective: This modernized scheme highlights India's systematic shift towards nationwide aviation inclusivity, striving to connect underserved remote, hilly, and island areas with critical commercial hubs.
The scheme features a comprehensive budget of Rs 28,840 crore and is structured for a 10-year implementation timeline extending from FY 2026-27 to FY 2035-36.
The primary highlight is the construction of 100 new aerodromes supported by a capital expenditure (CAPEX) budget of Rs 12,159 crore over eight years.
A total of Rs 10,043 crore is designated for Viability Gap Funding (VGF) to incentivize airlines to operate on unviable regional routes, alongside Rs 2,577 crore for O&M support targeting roughly 441 aerodromes.
Exam Perspective: This modernized scheme highlights India's systematic shift towards nationwide aviation inclusivity, striving to connect underserved remote, hilly, and island areas with critical commercial hubs.
Key Facts / Static GK
UDAN stands for Ude Desh ka Aam Nagrik
The regional connectivity scheme was originally launched in 2016 under the National Civil Aviation Policy (NCAP)
Viability Gap Funding (VGF) provides financial support to make commercial operations viable on regional routes
The regional connectivity scheme was originally launched in 2016 under the National Civil Aviation Policy (NCAP)
Viability Gap Funding (VGF) provides financial support to make commercial operations viable on regional routes
Practice Quiz — 20 June 2026
Q1. Which of the following statements is/are correct regarding the Modified UDAN Scheme set to be launched in June 2026? I. It will be implemented for a period of 10 years with an outlay of ₹28,840 crore. II. Under the scheme, 200 modern helipads will be developed with an outlay of ₹3,661 crore. III. The original UDAN scheme was launched in 2018.
Answer: (B) Only I and II — Statements I and II are correct. Statement III is incorrect as the original UDAN scheme was launched in 2016 under the National Civil Aviation Policy, not in 2018.
Q2. Under the newly proposed Modified UDAN Scheme, what is the planned total financial outlay and its targeted implementation duration?
Answer: (B) Rs 28,840 crore for 10 years — The revamped regional connectivity scheme (Modified UDAN) will be executed for a period of 10 years (from 2026-27 to 2035-36) with a total projected outlay of Rs 28,840 crore.
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