Bangladesh Imposes Airspace Ban On SpiceJet Over Non-Payment Of Pending Air Navigation Charges
Business
Bangladesh has banned low-cost carrier SpiceJet from flying through its airspace after the airline failed to clear pending air navigation charges. As a result, the airline is now being forced to take longer routes, leading to increased fuel consumption and higher operational costs, according to a report by the Economic Times.
Air navigation charges are the fees airlines pay for using services such as air traffic control, communication systems and navigational support while passing through a country’s airspace. These costs usually vary depending on factors like aircraft weight and flight duration. For a Boeing 737 aircraft, one of the main aircraft types in SpiceJet’s fleet, the charge is estimated to be around $300 per flight.
With the restriction in place, the Gurugram-based airline is now forced to reroute some of its flights to Northeast India, especially those passing through Kolkata. This detour is adding nearly 30 minutes to flight times, impacting scheduling efficiency and increasing fuel burn. Sources familiar with the matter indicated that the airline has allegedly not paid these charges for more than six months, prompting Bangladeshi authorities to suspend overflight permissions.
Responding to the development, a SpiceJet spokesperson described the issue as a routine industry matter and said the airline is working toward resolving it soon. The spokesperson added that flight operations will continue as scheduled and remain compliant with regulatory requirements.
The development comes shortly after SpiceJet announced its financial results for the third quarter ended December 31, 2025. The airline reported a consolidated net loss of Rs 261.7 crore, compared to a net profit of Rs 20.2 crore in the same quarter of the previous year.
However, the airline also showed signs of operational improvement during the quarter. Revenue jumped 77 per cent sequentially to Rs 1,384 crore, supported by increased capacity, better pricing and network expansion. Its domestic market share also rose to 4.3 per cent in December 2025 from 1.9 per cent in September, following a 56 per cent increase in capacity as more aircraft were added to the fleet.
Passenger load factor stood at 90 per cent, up from 84 per cent in the previous quarter and 88 per cent in the same period last year, reflecting steady demand. Passenger revenue per available seat kilometre also improved, while the number of passengers carried increased significantly to 1.9 million during the quarter.
Operational capacity, measured in available seat kilometres, rose sharply as the airline added 16 aircraft, including Boeing NG and Boeing 737 MAX planes, on wet lease to boost fleet strength and network reach.
Commenting on the performance, Chairman and Managing Director Ajay Singh said, “While legacy costs and external factors continue to weigh on expenses, the core business is clearly strengthening. With more aircraft in service, a sharper network focus and continued balance sheet repair, we are building a more resilient airline, step by step.”
