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IndiGo will terminate Turkish Airlines' lease after India grants final extension

IndiGo said it will end its leasing agreement, which was extended by the state-owned Turkish Airlines, within three months of the final extension. This will force the airline to look for alternatives.

India has criticized the agreement after Turkey supported Pakistan in the recent conflict between two South Asian neighbors. IndiGo's competitor Air India has also opposed the pact, having lobbied India to terminate the deal citing security and business concerns.

Directorate General of Civil Aviation stated that IndiGo has given an undertaking to terminate the lease agreement with Turkish Airlines on August 31. It will not be seeking a further extension. IndiGo requested a six-month extension, which is permitted under the rules, but was denied. Instead, a shorter period of time was approved, citing convenience for passengers, and confirmed an earlier report.

The lease was set to expire Saturday.

IndiGo did not respond to a request for comment immediately on Friday. The airline has previously defended its Turkish partnership by saying that it benefits Indians and creates jobs and aviation growth. Reporting by Abhijith Gaapavaram from New Delhi, and Nandan Mandayam from Bengaluru. Editing by David Holmes & David Evans

(source: Reuters)