Pakistan Airspace Ban Leaves Indian Airlines With $2 Billion in Losses
India’s aviation industry has reportedly suffered losses of around $2 billion since Pakistan closed its airspace to Indian aircraft in … Read More The post Pakistan Airspace Ban Leaves Indian Airlines With $2 Billion in Losses appeared first on ProPakistani .
In the past 18 months, India's aviation sector has suffered significant financial losses of approximately $2 billion following Pakistan's closure of its airspace to Indian aircraft, according to recent reports. This measure has compelled airlines to navigate longer routes, thereby escalating fuel expenses and operational burdens.
Air India, one of the country's major airlines, has announced the suspension of its flights between Delhi and Vienna from October 31, and between Delhi and Birmingham from November 1, citing escalated operating costs, surging jet fuel prices, and diminished aircraft availability due to maintenance and cabin upgrades.
According to Express News, Air India is projected to incur annual losses ranging from $455 million to $591 million as a direct consequence of the airspace ban. The airline has conveyed to the Indian government that these restrictions have impacted its profit before tax. Pakistan imposed the airspace closure on April 23, 2025, in response to a dispute at Pahalgam.
The prohibition has persisted for nearly 18 months, compelling Indian airlines to utilize longer routes through Iran or Central Asia, which have resulted in an escalation of fuel costs by up to 29 percent and an additional 30 minutes to three hours in flight times.
Around 800 Indian flights per week are currently affected by the closure, with approximately 640 flights operating through Delhi. In its 2026-27 winter schedule, Air India is contemplating the suspension of services between Delhi and Copenhagen, as well as a reduction in operations to London Gatwick and San Francisco. The airline attributes these decisions to the cumulative impact of the Pakistani airspace closure, escalating jet fuel prices, and the scarcity of Boeing 787 aircraft, which have collectively necessitated a reduction in international operations.
A spokesperson from the Pakistan Airports Authority confirmed that the prohibition on Indian aircraft is set to remain in effect through November, with a formal Notice to Airmen (NOTAM) issued to inform airlines of the restriction.
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