Air India has requested additional funding from its parent company Tata Group and strategic partner Singapore Airlines after reporting a $2.4 billion annual loss, according to sources familiar with the matter.

The Indian carrier's financial struggles highlight the challenges facing the aviation industry as it continues to recover from pandemic-related disruptions and navigate rising operational costs. The loss represents a significant financial burden for the airline as it works to restructure operations under new ownership.

Tata Group acquired Air India from the Indian government in 2021, taking control of the flag carrier after years of state ownership and mounting losses. Singapore Airlines holds a strategic partnership stake in the airline through its investment in Air India's transformation plans.

The funding request comes as Air India undertakes an ambitious modernization program, including fleet renewal and service improvements, as part of efforts to restore its position in both domestic and international markets. The airline has been working to streamline operations and reduce costs while expanding its route network.

Neither Tata Group nor Singapore Airlines immediately responded to requests for comment regarding the funding discussions. Air India's financial performance reflects broader challenges in the Indian aviation sector, where carriers face intense competition and volatile fuel costs.