Border conflict causes repercussions for Indian airlines’ domestic and international networks

A major flare-up in hostilities between India and Pakistan demonstrates yet again how the airline industry can be blindsided by geopolitical events outside its control.

There are obviously much more tragic implications from the recent rounds of clashes, but the collateral effect on Indian airlines has still been significant.

India and Pakistan both closed their airspace to each other's airlines, creating expensive rerouting for international flights.

On the domestic front, several Indian airports close to the border with Pakistan were temporarily closed, causing the cancellation of hundreds of flights.

Pakistani airports and airlines have been dramatically affected too, but this overview will focus on the much larger Indian industry.

A ceasefire agreement on 10-May-2025 resulted in airport restrictions being lifted, although it is not yet clear when overflights will resume.

The disruption has come at pivotal time for Indian airlines, as Air India looks to rapidly spool up its international operation, and IndiGo prepares to launch flights to Western Europe this summer with wet-leased Boeing 787s.

New airports are also due to open in Delhi and Mumbai this year.

No doubt the airspace closures will be a point of conversation at the IATA annual general meeting, which is scheduled to be held in Delhi on 1-3-Jun-2025.