Government Reviews IndiGo–Turkish Lease Pact Ahead Of May 31 Deadline; Renewal Unlikely— NDTV Profit Exclusive

The government is unlikely to extend InterGlobe Aviation Ltd.’s leasing agreement with Turkish Airlines, in a move that signals further strain in bilateral ties, according to people familiar with the matter. The current pact, which enables IndiGo to operate wide-body aircraft on the Delhi-Istanbul route, expires on May 31.

The government review is under way and the deal is “unlikely to be renewed” given the broader diplomatic context, the people said.

The development came as India has been downgrading engagement with Turkey following its increasing defence cooperation with Pakistan.

Last week, the Ministry of Home Affairs revoked the security clearance of Turkish ground handling firm Celebi. Separately, sources say Air India flagged concerns over the IndiGo-Turkish Airlines leasing arrangement, prompting the Centre to examine potential security risks.

IndiGo currently operates over 500-seater Airbus A330s on lease from Turkish Airlines for its Istanbul flights. The partnership also includes a codeshare deal that allows IndiGo to sell connections to over 40 destinations in Europe and North America via Istanbul.

On Thursday, IndiGo defended the collaboration, calling it “strategic” and essential for offering Indian flyers long-haul international access.

The airline did not respond to NDTV Profit’s requests for comment on the government’s latest review.