New Delhi: Pakistan has suffered a loss of about $14.39 million (Rs 4.1 billion) in a little over two months after blocking Indian aircraft from using its airspace, as per data shared in the National Assembly on Friday.
The figures, reported by Pakistani newspaper Dawn, cover the period from April 24 to June 30, 2025.
Airspace Ban Linked to Indus Waters Treaty Suspension
The airspace restriction came a day after India suspended the Indus Waters Treaty on April 23. In response, Pakistan banned all Indian-owned, operated, or leased aircraft from flying over its territory.
This decision affected around 100 to 150 Indian flights daily and led to a 20% drop in total overflight traffic through Pakistan’s skies.
Losses in Overflight Revenue Only
The reported Rs 4.1 billion loss comes from overflight fees alone—charges that airlines pay to use Pakistan’s airspace. Officials clarified that this figure does not include other income of the Pakistan Airports Authority (PAA).
Before the ban, Pakistan’s overflight earnings were strong. Even without fee increases, daily overflight revenue rose from $508,000 in 2019 to $760,000 in 2025.
Defence Ministry’s Statement on the Ban
The Ministry of Defence told parliament that airspace restrictions are federal decisions, announced via NOTAMs (Notices to Airmen). The ministry defended the ban, stating:
“When safeguarding sovereignty and security, no price is too high.”
This Isn’t the First Time
This situation is similar to 2019, when a previous ban after border tensions led to Rs 7.6 billion ($54 million) in losses, though some earlier reports had estimated the losses at $100 million.
Current Airspace Status
As of now, Pakistan’s airspace remains open to all international airlines except Indian carriers. The restriction has already been extended twice and will stay in place until at least the last week of August.
Meanwhile, India continues to block Pakistani airlines from entering its airspace.
