Aviation stocks soar as government increases cap on airfare
MUMBAI : Shares of two aviation firms — SpiceJet and Interglobe Aviation — rose on Friday as the civil aviation ministry raised fare caps for airlines by as much as 30% to offset the rise in fuel prices.
Shares of SpiceJet advanced 4.16% to ₹91.35, while Interglobe Aviation (IndiGo) rose 1.57% to ₹1652.65 on the BSE. The benchmark index, Sensex was 0.24% higher at over 51700.
While increasing the limit on airfares, the ministry also extended curbs on setting fares till 31 March amid tepid travel demand because of the pandemic.
