Airspace Closure to India Costs Pakistan Airports Authority Rs 4.1 billion

ISLAMABAD: The Indian ban on airspace access to Indian airways has resulted in a loss of R4.1 billion to the Pakistan Airports Authority in a span of just two months, as reported on the 22nd of October by the Ministry of Defence to the National Assembly.

As the ministry elaborated, the gap in revenue of R 4.1 billion from April 24 to June 30 was from overflying revenue. This was as a result of India’s informal halting of the Indus Waters Treaty on April 23.

Pakistan stopped allowing all Indian-registered aircraft and those owned, operated, or leased by Indian carriers to fly over the border the very next day.

The measure reduced transit traffic by nearly 20% and impacted 100 to 150 Indian aircraft per day. Compared to the $100 million previously reported, a similar closure in 2019 resulted in an estimated revenue loss of Rs7.6 billion ($54 million).

Airspace at Islamabad Airport will be closed every day for two hours until August 14.

The ministry informed the parliament that the federal government-made decisions were made through NOTAMs, which, in one way or another, were strategic in nature and had to do with civilian safety, infrastructure protection, and military strategy planning.

Sovereignty, defence

“While financial losses occur, sovereignty and national defense take precedence over economic considerations,” the statement read.

The revenue for the PAA in relation to overflight had been 508,000 back in 2019, which was before the tensions, and in 2025, it was 760,000.

The ministry made it clear that the amounts reflected “revenue shortfalls, not overall financial losses,” and that there was no change in overflight and aeronautical charges, which put forth the notion that these entities were not relying on government handouts and were resilient to economic pressures.

Currently, for all airline and aviation companies, Pakistan’s airspace is accessible with the exception of Indian airlines and aircraft until the last week of August, when the ban got renewed two times on a monthly basis. Also, Pakistani airlines and aviation companies are still not allowed to operate in Indian airspace. “When safeguarding sovereignty and security, no price is too high,” the ministry reiterated.

Flights to and from Islamabad

As per NOTAM A0510/25, operationally, Islamabad International Airport airspace is to be closed for two hours every day until the 14th of August. For flights to Lahore and the northern regions, air traffic will be suspended from the surface to FL210.

The shutdown is effective from 11am to 1pm.

On Friday, this temporary airspace closure led to minor delays, but the Federal Investigation Agency (FIA) reported that all immigration counters were fully staffed and operational, managing to process 2847 passengers from 12 international flights within a span of 3 hours.

A large number of travelers were suddenly rescheduled for the same departure time. The FIA Immigration Authority conducted the mandated checks and clearances as per the standard operating procedures and promised to provide reliable immigration services while fighting human smuggling and other crimes.

Published in Daily Pak, August 9th, 2025