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Air India has sought subsidy totalling Rs 4,000 crore from the government to recover losses after Pakistan airspace closure, sources told Republic Media Network. India's flag-carrier airline also claimed that post the Pahalgam terror attack took place the airlines had to suffer massive financial losses. On the other hand, the Ministry of Civil Aviation (MoCA) has summoned Air India CEO Campbell Wilson after he claimed that Pakistan’s airspace closure has caused an estimated Rs 4,000 crore loss on the Tata Group owned aviation major. Wilson continues to face criticism over his Air India loss claims as no other Indian airline has approached the central government, seeking subsidy on grounds of Pakistan's airspace closure. Earlier this week, Wilson said the continued restrictions in place by the Pakistan airspace regulatory authorities forced the carrier to reroute several flights to Europe and North America, causing surge in ATF consumption, crew costs, and turnaround durations."(Pak) airspace closure causing an impact of 4000 crore to Air India," Campbell said. After the Pahalgam terror attack, India and Pakistan have maintained a ban on each other from using their respective airspaces.Earlier this year, Air India said that the passenger carrier was expecting to face $600 million in additional costs if the ban on Pakistan's airspace continued.On April 27, the airlines had sought for a "subsidy model" that would reduce the financial loss, which was expected to be over $591 million annually till the ban gets lifted.In its letter directed to the MoCA, Air India had penned, "Subsidy for affected international flights is a good, verifiable and fair option…the subsidy can be removed when the situation improves."(This is a developing story)
