India is set to permit fractional aircraft ownership and aircraft management effective January 1, 2027, under the new 2026 India Aircraft Rules (Bharatiya Vayuyan Niyam - BVN). Drawing on the United States FAA's Part 91, Subpart K model, Rule 188 establishes a framework allowing aircraft legally owned by multiple individuals or entities to be operated either through an authorised aircraft management service provider or under a dry-lease arrangement with a single operator.

Aircraft management service providers will require authorisation by the Directorate General of Civil Aviation (DGCA), unless already holding a valid air operator permit. Aircraft owners and management providers must enter into a formal agreement and notify the DGCA of the arrangement. The new rules replace an aviation regulatory framework dating back to 1937. The DGCA is expected to publish a draft Civil Aviation Requirement (CAR) for industry consultation within approximately one month, followed by a final amended CAR within three months.