Shares of Indian airline operators jumped on Wednesday after the country’s civil aviation ministry allowed domestic flights to fly at full capacity from October 18, lifting pandemic-led restrictions ahead of the festive season.
InterGlobe Aviation, which runs India’s largestairline IndiGo, and SpiceJet rose as much as 4.8 per cent and 5.9 per cent, respectively, to their highest levels since mid-September.
India’s aviation industry has been among the worst hit by the Covid-19 pandemic, with airlines losing billions of dollars since operations were halted or restricted since 2020.
Passenger growth
With Covid-19 cases falling and vaccination ratesincreasing, India has started easing travel restrictions over the past few months.
Passenger growth jumped 136.6 per cent in August from a year earlier after the government relaxed some curbs, regulatory data showed.
IndiGo’s shares have gained about 18.3 per cent for the year as of last close, while SpiceJet’s stock is down about 21 per cent during the same period.