Pakistan Airports Authority (PAA) has reported a loss of Rs4.1 billion due to the ban on Indian airlines using Pakistani airspace. This information was shared by Defence Minister Khawaja Asif in a written reply to the National Assembly on Saturday.
The loss occurred between April 24 and June 30, 2025. It resulted from Pakistan’s decision to close its airspace to Indian-registered aircraft. This step was taken after India suspended the Indus Waters Treaty on April 23, 2025, and amid rising tensions between the two countries.
The ban affected around 100 to 150 Indian aircraft daily. It led to a nearly 20% drop in air traffic passing through Pakistan. This reduction caused the significant revenue shortfall for PAA.
Defence Minister Khawaja Asif emphasized that protecting Pakistan’s sovereignty and national security was more important than financial losses. He said, “No price is too high when it comes to defending our homeland.”
The minister also mentioned that Pakistani airlines and aircraft are banned from flying over Indian airspace in return. Despite these restrictions, Pakistan’s airspace remains open to all other airlines.
In comparison, Pakistan had lost about $54 million (around Rs7.6 billion) in overflight revenue during a similar airspace closure in 2019. The average daily revenue from overflights was $508,000 before the recent conflict.
Asif added that PAA showed fiscal resilience during this period and did not raise any overflight or aeronautical charges. He highlighted that the economic setback was a necessary sacrifice for national security.
Overall, the PAA Rs4bn loss airspace ban reflects the broader impact of political tensions between Pakistan and India on aviation and revenue.
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