Pakistan has incurred a substantial financial loss of over Rs 1,240 crore (PKR 4.1 billion) in just two months by barring Indian-registered aircraft from its airspace. According to a report by Dawn, citing an official statement from Pakistan’s Defence Ministry, this decision led to a significant drop in overflying revenue for the Pakistan Airports Authority (PAA).
The move was a response to India’s suspension of the Indus Waters Treaty following a deadly terror attack in Pahalgam, Jammu and Kashmir, on April 22, which killed 26 people, mostly tourists. The attack was claimed by The Resistance Front (TRF), an offshoot of the Pakistan-based terror group Lashkar-e-Taiba.
The airspace closure, effective from April 24, impacted 100-150 Indian flights daily, slashing Pakistan’s transit air traffic by nearly 20%. While Pakistan has extended its ban on Indian aircraft until August 24, India has also issued a NOTAM (Notice to Airmen) barring Pakistani flights from its airspace until August 23, 2025.
In addition to the airspace closure, India’s retaliatory measures included diplomatic action and a military operation called “Operation Sindoor,” which targeted terror infrastructure in Pakistan and Pakistan-Occupied Kashmir (POK
