NEW DELHI – Indian airlines have faced increased operational challenges and higher costs following the continued closure of Pakistani airspace, according to reports.
International aviation publication FlightGlobal reported that Air India suffered a loss of approximately $2.3 billion in the financial year ending March 31, with restrictions on Pakistani airspace identified as one of the factors contributing to increased operational challenges for the airline.
The closure of Pakistani airspace has forced Indian carriers to adjust international flight routes, increasing fuel consumption and operational expenses.
According to aviation experts, around 400 to 500 Indian airline flights have been affected due to the restrictions.
The report stated that changes to western flight routes, along with rising fuel prices and economic uncertainty, have added further pressure on Air India’s financial performance.
Aviation expert Subhash Goel said that the airspace restrictions have significantly affected Indian airlines by increasing travel distances and operating costs.
The developments highlight the challenges faced by the Indian aviation sector as airlines continue to manage higher expenses and disruptions caused by changes in international flight routes.
Earlier this month, Pakistan extended restrictions on its airspace for Indian civilian and military aircraft for another month, according to a Notice to Airmen (NOTAM) issued by the Pakistan Airports Authority.
The restriction, which was previously set to expire on July 24, will now remain in place until 11:59 pm on August 23.
The NOTAM stated that Pakistani airspace would remain unavailable for Indian-registered aircraft, as well as aircraft operated or leased by Indian airlines and operators, including military flights.
The restriction applies to both major flight information regions managed by Pakistan, including the Karachi and Lahore regions.
Pakistan and India had closed their airspaces to each other’s airlines in April 2025 after tensions increased following a deadly attack in Indian-administered Kashmir’s Pahalgam area.
Since the initial decision, Pakistan has extended the airspace restrictions several times.
