Operation Sindoor fallout: Airspace row with India costs Pakistan nearly Rs 1,240 crore in two months, reveals report

Pakistan’s Ministry of Defence has told its National Assembly that the Pakistan Airports Authority (PAA) lost over Rs 1,240 crore between 24 April and 30 June after banning Indian-registered aircraft from its airspace. The revenue loss came from a sharp fall in overflight fees. The restriction has cut Pakistan’s daily transit traffic by almost 20 per cent, affecting between 100 and 150 Indian flights every day.

The move was announced on 24 April, a day after India suspended the Indus Waters Treaty. New Delhi’s action followed the 22 April terror attack in Pahalgam, Jammu and Kashmir, which killed 26 people. The attack was blamed on ISI-backed militants operating from Pakistan. Islamabad said its airspace closure was retaliation for the treaty suspension.

From that date, all Indian-registered aircraft, along with those operated, owned or leased by Indian carriers, were denied overflight rights.

Economic impact higher than 2019

This is not the first time Pakistan has shut its skies to India. A similar move in 2019 cost around Rs 228 crore. The current closure is proving more expensive. Defence ministry figures show PAA’s average daily overflight earnings in 2019 were $508,000, compared with $760,000 this year.

Admitting the financial impact, the ministry said in its statement, “Sovereignty and national defence take precedence over economic considerations.” It added that the restrictions were issued via Notices to Airmen (NOTAMs) for “strategic and diplomatic” reasons.

The closure comes against the backdrop of heightened military tensions earlier this year. Between 7 and 10 May, cross-border hostilities flared after India launched Operation Sindoor. The operation targeted four terror hubs in Pakistan and five in Pakistan-occupied Jammu and Kashmir with deep precision strikes.

India said the strikes were aimed solely at terror infrastructure. Pakistan responded by launching drones and missiles at Indian airbases, military installations and civilian areas. The Indian Air Force countered with strikes on at least nine Pakistani airbases and three radar sites, some near nuclear facilities and command structures. Weapons used included BrahMos, Crystal Maze-2, Rampage and Scalp missiles, delivered by Su-30MKI, Rafale and Mirage-2000 fighters.

Pakistan’s skies remain open to all other international airlines, but Indian carriers are still banned. The restriction has been extended twice and is now expected to remain in place until the last week of August.

India has imposed its own airspace ban on Pakistani-operated, owned or leased aircraft since 30 April, including military flights. Minister of State for Civil Aviation Murlidhar Mohol confirmed that the NOTAM against Pakistani flights has been extended until 23 August 2025 due to “prevailing security protocols and strategic considerations.”