IndiGo Asked To End Aircraft Lease Agreement With Turkish Airlines
The development comes after aviation regulator DGCA on Friday granted a three-month extension to IndiGo on damp leasing two Boeing 777 planes from Turkish Airlines.
IndiGo (File Photo)
In a big step against Turkish airlines, the central government on Friday asked IndiGo to end its aircraft lease agreement with Turkish Airlines within three months.
The action came weeks after the government revoked the security clearance for a Turkish firm, Celebi Aviation, which handled services at nine key airports in India, including Delhi.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
New Indian Express
an hour ago
- New Indian Express
Russia resumes Moscow-Pyongyang commercial flights
SOUTH KOREA: A Russian passenger jetlanded at North Korea's main airport Monday, a flight tracking site showed, completing the first commercial leg in decades between capitals of the allied countries. Russia and North Korea have pulled closer in the last year, with Pyongyang sending weapons and troops to aid Moscow's war in Ukraine -- likely in exchange for technical assistance, experts say. Tracking site Flight Aware showed Russia's Nordwind Airlines' Boeing 777 landing in Pyongyang at 09:15 am (GMT 00:15). "This is a historical event, strengthening the ties between our nations," Oleg, a Nordwind employee on the flight who did not give his full name, told AFP at the airport in Moscow Sunday. A video posted on Russian news agency RIA Novosti's Telegram account showed North Korean officials and flight attendants welcoming the Russian passengers with flowers at Pyongyang's international airport. One North Korean official is seen checking the temperatures of the disembarking Russians with an electronic thermometer.
Fibre2Fashion
2 hours ago
- Fibre2Fashion
Moody's upgrades Turkiye's ratings to Ba3, changes outlook to stable
Moody's Ratings recently upgraded Turkiye's long-term foreign- and domestic-currency issuer and foreign-currency senior unsecured ratings to Ba3 from B1 and changed the outlook to stable from positive. It also upgraded the foreign-currency backed senior unsecured rating of Hazine Mustesarligi Varlik Kiralama A.S. to Ba3 from B1. The entity is a special purpose vehicle wholly owned by the Turkish government from which the treasury issues sukuk certificates (Islamic financial certificates, similar to a bond in Western finance). Moody's Ratings recently upgraded Turkiye's long-term foreign- and domestic-currency issuer and foreign-currency senior unsecured ratings to Ba3 from B1 and changed the outlook to stable from positive. The upgrade reflects the strengthening track record of effective policymaking. The central bank's foreign currency buffers are relatively weak compared to the gross external financing needs. 'We consider the liabilities of this entity to be an ultimate obligation of the government of Turkiye. The outlook on Hazine Mustesarligi Varlik Kiralama A.S. has also been changed to stable from positive,' Moody's said in a release. The upgrade reflects the strengthening track record of effective policymaking, more specifically in the central bank's adherence to monetary policy that durably eases inflationary pressures, reduces economic imbalances, and gradually restores local depositor and foreign investor confidence in the Turkish lira, the rating agency noted. It also reflects the view that the risk of a policy reversal has receded, although it will remain present in the coming years. The stable outlook balances upside and downside risks to Turkiye's credit profile. On the upside, extending the track record of effective policymaking without political interference has the potential to support the improvement in Turkiye's external position more substantially than Moody's currently assumes. Furthermore, the government's ongoing and planned structural reforms could improve Turkiye's resilience to external shocks by further reducing its energy import dependence and increasing the competitiveness of exports. A possible return to policies that would again fuel economic imbalances represents a key downside risk. Given its still relatively weak external position, captured by the central bank's comparatively modest foreign-currency buffers, Turkiye also remains vulnerable to large balance of payments shocks, Moody's observed. Concurrently, Moody's raised Turkiye's local-currency country ceiling to Baa3 from Ba1. The three-notch gap between the local-currency ceiling and the sovereign issuer rating reflects the improving track record of monetary and macroeconomic policy effectiveness and a relatively limited government footprint in the economy. These factors are balanced against Turkiye's exposure to elevated political risks and the risk of a reversal in the current policy direction. In addition, the foreign-currency ceiling has been raised to Ba2 from Ba3. The two-notch gap between the foreign-currency and local-currency ceilings reflects the central bank's still relatively weak foreign currency buffers compared to the country's gross external financing needs and the latent risk of a return to previous policy settings, in which regulatory measures were used to suppress foreign currency demand. Fibre2Fashion News Desk (DS)
Time of India
14 hours ago
- Time of India
IndiGo's insurance premium likely to rise, in single digits
Mumbai: IndiGo Airlines , country's largest carrier by fleet size and market share , is likely to face a single-digit percentage increase in aviation insurance premiums when its annual cover comes up for renewal this week, people familiar with the matter said. The hike comes amid a hardening global reinsurance market following the recent fatal Air India crash in Ahmedabad, which could result in hull and liability claims exceeding $200 million. Explore courses from Top Institutes in Please select course: Select a Course Category The insurance renewal for IndiGo and SpiceJet-whose policies are up for renewal in October-is being closely watched by the industry as reinsurers raise prices in the wake of increasing global aviation losses . Reinsurers in the London market, which underwrite a large portion of Indian aviation risk, are tightening capacity and pushing up rates for both hull and liability covers. IndiGo's policy last year was led by New India Assurance , with co-insurers such as ICICI Lombard participating domestically. A large portion of the risk was ceded to overseas reinsurers, particularly in London, which continue to dominate aviation hull and liability insurance . Live Events The carrier's combined hull, spares, and liability cover carries a premium of approximately $13 -15 million, industry sources said. The total insurance value for its 437 aircraft fleet stands at around $20 billion. Each aircraft-primarily Airbus A320 and A321 models-is insured for a hull value between $30 million and $45 million. The fleet includes a few wide-body aircraft recently inducted for international operations. On the liability front, narrow-body aircraft typically carry coverage up to $750 million, while wide-body aircraft are covered for up to $1 billion. The current combined single limit (CSL) for liability stands at $1 billion, with maximum hull agreed value (MAV) at $150 million and spares at $300 million. Reinsurance costs have been rising since late 2023, but the recent Air India crash has led to further tightening, with international reinsurers becoming more cautious on risk appetite.
