Pakistan has extended its airspace ban on Indian aircraft until September 24. This decision comes from a Notice to Airmen (Notam) issued by the Pakistan Airports Authority. The previous restriction had been set to expire on August 23. The Notam bans Indian-registered aircraft and planes operated or leased by Indian airlines from flying in Pakistani airspace. Military flights are covered as well. The extension took effect at 10:15 am on August 23 and will remain in force until 4:59 am on September 24. It applies to both of Pakistan’s flight information regions, Karachi and Lahore.
Key Highlights
- Pakistan extends airspace ban on Indian aircraft until September 24
- Ban has been in place since April 2025, following the Pahalgam attack
- Air India Group posted a $2.8 billion loss for the fiscal year ending March 2026
- Rerouting has pushed fuel costs up by as much as 29 percent on some long-haul routes
- Around 800 weekly Indian flights remain affected by the closure
Pakistan extends unavailability of its airspace to September 23 for aircraft registered in India and aircraft operated/owned or leased by Indian airlines/operators including military flights.
Notice to Airmen (NOTAM) issued: pic.twitter.com/P23CuVPLos
— Pakistan Aviation News 🇵🇰 (@avpak3) August 18, 2026
A Ban Rooted in Last Year’s Conflict
India and Pakistan closed their airspace to each other’s airlines in late April 2025. Tensions had escalated sharply following a deadly attack in Indian-occupied Kashmir’s Pahalgam. In response, Pakistani officials unleashed a series of actions on April 24. Pakistan immediately closed its airspace to all airlines owned or operated by India. New Delhi accused Islamabad of supporting the attack, without providing any evidence. Pakistan denied any involvement and offered to conduct an impartial probe. The following month, the two nuclear-armed countries fought their fiercest air battle in decades. Pakistan said it downed seven Indian fighter jets during the exchange. Since then, Pakistan has extended the airspace ban multiple times, and it now stretches close to a year and a half.
The Financial Toll on India’s Aviation Sector Keeps Growing
The economic cost to Indian carriers has become harder to ignore with each passing month. Air India Group posted a loss of $2.8 billion for the fiscal year ending March 2026. This information comes from Singapore Airlines, which owns a 25.1% stake in the airline. Singapore Airlines pointed to several factors behind the loss. These included airspace restrictions, constraints on Middle East operations, and elevated jet fuel prices. The airline had projected losses closer to $2.12 billion earlier in the year. The final number came in well above that estimate.
That’s a steep drop from last year. Air India reported a standalone loss of $415 million for the fiscal year 2024-25. That year, its consolidated deficit, including budget subsidiary Air India Express, was $1.13 billion. The difference between the two years shows how much the airline’s cost structure has grown due to the airspace closure.
Longer Routes Mean Higher Fuel Bills
The mechanics behind these losses come down to geography. Without access to Pakistani airspace, Indian carriers flying to Europe and North America must take longer, more southerly routes. These detours add significant flight time. Some routes see journey times stretch by up to three hours. Rerouting has pushed fuel costs up by as much as 29 percent on select long-haul routes, according to documents submitted to the Indian government.
Earlier, Air India had pegged its annual extra cost from the ban at around $591 million, according to a letter to India’s Ministry of Civil Aviation. The airline had asked for a government subsidy to help offset the impact, saying it was the carrier most impacted from the additional fuel burn and crew requirements. More recent estimates put the expected annual profit-before-tax impact from Air India at about $455 million – a figure that in itself is higher than the airline’s total reported loss for fiscal year 2024-25.
@anushayer پاکستان کی فضائی حدود کی پابندی میں توسیع، بھارتی ایئرلائنز خصوصاً ایئر انڈیا پر بڑھتا معاشی دباؤ۔ طویل پروازیں، اضافی ایندھن اور بڑھتے آپریشنل اخراجات بھارتی ہوا بازی کے شعبے کے لیے بڑا چیلنج بن رہے ہیں۔ #Pakistan #India #AirIndia #PakistanAirspace #IndianAirlines #Aviation #AirspaceBan #Geopolitics #PakistanIndia #BreakingNews #NewsUpdate #SouthAsia #AviationNews #PakistanNews ♬ original sound – Anoshay Ikram
Routes Suspended, Fares Rising, Airlines Under Pressure
Operational adjustments have already been made due to the financial issues. Air India completely stopped operating flights from Delhi to Washington, DC. Due to the increased cost and distance, routes from Mumbai and Bengaluru to San Francisco are becoming more and more difficult to justify on financial basis. Between 400 and 500 Indian aircraft are affected by the airspace ban, says aviation expert Subhash Goyal. Some estimates suggest the number of disrupted weekly flights is closer to 800.
And the pressure is not just on Air India. Indian airlines called for the early deferral of an 11 percent excise duty on aviation turbine fuel. They warned of “unsurmountable losses,” aircraft groundings, and mass flight cancellations if fuel costs increased further. Air India has also considered alternate routing through Chinese airspace, including a request to access Xinjiang, in its efforts to shorten flight paths without Pakistan.
Passengers have also been feeling the pinch with longer flight times and increased fares on affected routes. The ban will last until late September. This means Indian carriers will deal with another month of routing limits and cost issues. These have already led to changes in parts of their international network over the past year and a half.
