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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 April 2025, forcing airlines to take longer routes and spend more on fuel and operations.

Air India is suspending flights between Delhi and Vienna from October 31 and between Delhi and Birmingham from November 1, citing higher operating costs, rising jet fuel prices, and reduced aircraft availability due to maintenance and cabin upgrades.

According to reports cited by Express News, Air India faces annual losses of $455 million to $591 million due to the airspace closure. The airline has informed the Indian government that the restrictions have affected its profit before tax.

Pakistan closed its airspace to Indian aircraft on April 23, 2025, following the Pahalgam incident. The restriction has remained in place for around 18 months, forcing Indian airlines to use longer routes through Iran or Central Asia.

The longer routes have reportedly increased fuel costs by up to 29 percent and extended flight times by 30 minutes to three hours. Around 800 Indian flights per week are affected, including approximately 640 operating through Delhi.

Under its 2026-27 winter schedule, Air India is also reportedly considering suspending flights between Delhi and Copenhagen and reducing services to London Gatwick and San Francisco.

The airline said the combination of the Pakistani airspace closure, higher jet fuel prices, and limited availability of Boeing 787 aircraft had contributed to its decision to reduce international operations.

A Pakistan Airports Authority spokesperson said the restriction on Indian aircraft remained in effect through November, with a formal Notice to Airmen (NOTAM) issued to that effect.

The post Pakistan Airspace Ban Leaves Indian Airlines With $2 Billion in Losses appeared first on ProPakistani.

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