Upcoming SIA airline in India could fill the Kingfisher vacuum

One of its biggest advantages.

According to DBS, India's plan to establish a new airline in India with Tata Sons holds promise, especially after the exit of Kingfisher left a vacuum for a new player.

"Notably, Kingfisher had the second largest share in India's domestic air travel market before its demise, which means the vacuum to be filled is substantial," said DBS.

Also, the Indian airline industry outlook rosy, boosting the prospects of the new airline in India.

Total passenger numbers handled at Indian airports exceed 120m annually (33m at New Delhi), ranking it amongst the top 10 markets in the world, and is well poised to grow firmly, given strong GDP growth, young population and fast growing middle class.