Business
Rs 70k to Bengaluru but Rs 25k to London: Airfares explode amid massive IndiGo crisis; flyers rush for options – The Times of India
Skip Bengaluru. Take a trip to Thailand instead. Or Vietnam. Or London. Or even Singapore. All at a much much much cheaper rate than Delhi to Bengaluru, Goa, Pune or Goa. But you cannot travel to Hyderabad, at least not on Friday, because the tickets are sold out. Ironically, IndiGo flight tickets are available.The situation arose amid IndiGo’s massive operational chaos which has led to the cancellations of hundreds of flights and widespread distress for travellers at airports nationwide. On Friday, the airlines cancelled all departures from Delhi till midnight.
According to the DGCA, IndiGo acknowledged that it had severely miscalculated the number of pilots needed to operate its existing schedule under the new crew duty regulations.The flight ticket fares on Friday for Bengaluru, Pune, Lucknow and Goa, which usually ranges 10k-15k, depending upon the demand and the festival factors, stood at an average of 25k-30k.
70k for a Delhi-Bengaluru ticket?
A travel portal recently showed the fastest December 5 Delhi connection on Air India at around Rs 70,000 before it sold out; even after the price dipped to roughly Rs 32,000, it remained far above the usual Rs 10,000–15,000 range for that sector. And it’s just a one-way fare.The trend extended across domestic routes: the quickest Delhi–Goa Air India option was priced above Rs 56,000, Delhi–Pune fares were between Rs 30,000 and Rs 40,000, and Delhi–Lucknow tickets crossed Rs 20,000 on Air India Express, with IndiGo selling seats between Rs 9,000 and Rs 17,000.In sharp contrast, international routes appeared far more affordable. Delhi–London fares on Air India began just above Rs 25,000, while Lufthansa and Swiss were priced below Rs 70,000.Taking potshots at the situation, a social media user named Rocky Singh suggested going to Tokyo or New York instead of Bengaluru, given the fare situation.“Going to Bengaluru from Delhi on Air India ? DONT Go to New York or London Or Tokyo instead …. It’s cheaper,” he said.From Delhi to Thailand, Thai Lion Air offered tickets under Rs 10,000, SpiceJet stayed below Rs 15,000, and Air India remained under Rs 25,000. Delhi–Vietnam fares were under Rs 15,000 on Air India and around Rs 25,000 on Thai AirAsia X.“You get food poisoning, I will kill my grandmother,” said Vijaya Srivastava, a 25-year-old news writer, when asked about going to Thailand, given the fares for the day. Even Delhi–Singapore flights were cheaper, with Thai Lion Air under Rs 20,000, Batik Air around Rs 20,000, and Air India at about Rs 30,000.A flyer expressed concern over the situation over “Jodhpur to Bangalore Air India flight 1 lakh rupees”. “This is so unfair of airlines taking advantage of current situation,” Ankita said in a post on X.
IndiGo too nonchalant about it?
While the chaos has been caused by the IndiGo itself, the flyers cited lax management mechanism on the part of the airlines. “Flight radar was more credible source to find the flight status than the website itself,” said a flyer from Delhi, who faced a 7-8 hours delay for Bengaluru flight.Describing the 5am chaos, he said that “every departure gate was crowded with angry passengers who had been waiting from 6 to 8 hours.” There’s no option to cancel as the ticket fares are 3-4 times, so people just prefer to wait.,” he said.Another flyer from Ranchi noted ill management of takeoffs and landings saying, “Passengers had to wait for two hours inside the flight at Delhi airport as the bay area not empty.” “As tempers flared and some travellers began confronting the crew, the pilot said, ‘We are just as helpless as you are,” he said. “I can park the aircraft and offload only when we receive permission’,” the flyer recalled.“Indigo @IndiGo6E ‘s website has no mention whatever of the chaos, and still allows you to book, even for tomorrow between Bengaluru and Hyderabad (which I picked as two of the worst-hit airports). Shouldn’t they be prioritising moving stranded passengers across the country?” a user named Rahul Siddharthan said on X.“And Indigo is still selling tickets with huge margins. Hyd- Blore tickets normally Rs. 3000/- to Rs.4000/- being sold on their App for Rs.11,000/- plus. Even though they know their flights are being cancelled. This called “Make Hay while the sun shine,” another user, posting the screenshot said.
‘Monopoly’ concerns spark row
Leader of opposition in Lok Sabha Rahul Gandhi flagged the “govt’s monopoly model” saying that “it’s ordinary Indians who pay the price – in delays, cancellations and helplessness.”He called for a “fair competition in every sector, not match-fixing monopolies.”“IndiGo fiasco is the cost of this Govt’s monopoly model. Once again, it’s ordinary Indians who pay the price – in delays, cancellations and helplessness. India deserves fair competition in every sector, not match-fixing monopolies,” he said.Shiv Sena (UBT) MP Priyanka Chaturvedi took on the government calling out to “shut down the civil aviation ministry”.“I have submitted a calling attention. I was hoping that the civil aviation minister would give information in the Parliament yesterday itself, but unfortunately, that did not happen yesterday. He held a meeting late in the night and issued some directives, but what is the point of directives if so many flights are still being cancelled? If you are not responsible for rising airfares and passenger grievances, then shut down the Civil Aviation Ministry,” she said.
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IMF Raises India’s 2025 Growth To 7.3%
Washington: The International Monetary Fund on Monday raised India’s economic growth projection for 2025 by a sharp 0.7 percentage point to 7.3 per cent, citing stronger-than-expected performance in the second half of the year, even as it expects growth to moderate in the coming years.
In its World Economic Outlook Update, the IMF said the upward revision reflects a “better-than-expected outturn in the third quarter of the year and strong momentum in the fourth quarter,” underscoring India’s position as one of the fastest-growing major economies in the world.
The IMF projected that India’s growth would ease to 6.4 per cent in 2026 and 2027 as cyclical and temporary factors wane.
Despite the expected moderation, India remains a key driver of growth among emerging market and developing economies, which the IMF said are projected to expand at just over 4 per cent in 2026 and 2027.
Emerging and developing Asia continues to benefit from strong technology-related investment and trade, even as global momentum becomes uneven.
The update noted that global growth is projected to hold steady at 3.3 per cent in 2026, supported by easing trade tensions, accommodative financial conditions and a surge in investment linked to technology, particularly artificial intelligence.
Inflation trends were also favourable for India. The IMF said inflation in India “is expected to go back to near target levels after a marked decline in 2025, driven by subdued food prices,” offering additional support to domestic demand.
However, the IMF cautioned that risks to the outlook remain tilted to the downside. A reassessment of expectations around AI-driven productivity gains could lead to a pullback in investment and tighter global financial conditions, with spillover effects for emerging economies.
On the upside, the Fund said faster adoption of artificial intelligence could lift global growth, provided productivity gains materialise, and financial risks are contained.
Business
Why the US is buying icebreakers from Finland
Adrienne MurrayBusiness reporter, Helsinki
Aker Arctic TechnologyAs President Donald Trump continues to insist that the US needs to own Greenland, his wider focus on the Arctic region has seen Washington order new icebreakers.
For these ships, which can sail through seas covered in solid ice, the US has gone to the world expert – Finland.
Temperatures are sub-zero inside Aker Arctic Technology’s ice laboratory, as the scale model of an icebreaker cruises down a 70m-long simulation tank.
It ploughs a neat channel through the frozen surface of the water.
Undergoing testing at a facility in Helsinki, Finland’s capital, this is a design for the next generation of the country’s icebreakers.
“It’s crucial that it has sufficient structural strength and engine power,” says ice performance engineer, Riikka Matala.
Mika Hovilainen, the firm’s chief executive, adds that the shape of the vessel is also crucial. “You have to have a hull form that breaks ice by bending it downwards,” he says. “It’s not cutting, it’s not slicing.”
Finland is the undisputed world leader when it comes to icebreakers. Finnish companies have designed 80% of all those currently in operation, and 60% were built at shipyards in Finland.
The country leads the way out of necessity, explains Maunu Visuri, president and chief executive of Finnish state-owned company Arctia, which operates a fleet of eight icebreakers.
“Finland is the only country in the world where all the harbours may freeze during wintertime,” he says, adding that 97% of all goods to the country are imported by sea.
During the coldest months, icebreakers keep Finland’s ports open, and work as pathfinders for big cargo ships. “It’s really a necessity for Finland. We say that Finland is an island.”
It was this expertise that saw Trump announce in October that the US planned to order four icebreakers from Finland for the US Coast Guard.
A further seven of the vessels, which the US is calling “Arctic Security Cutters”, are to be built in the US, using Finnish designs and expertise.
“We’re buying the finest icebreakers in the world, and Finland is known for making them,” said Trump.
Adrienne MurrayUnder US law, the country’s naval and coastguard ships must be domestically-built, but in this case the president waived that requirement on national security grounds. He cited “aggressive military posturing, and economic encroachment by foreign adversaries”, by which he means Russia and China.
This US concern comes as climate change continues to make the Arctic Ocean more navigable for cargo ships, at least if icebreakers lead the way by cutting a path. This opens up commercial trade routes from Asia to Europe, either above Russia, or north of Alaska and Canada’s mainland, and down past Greenland.
Reduced ice levels also mean that oil and gas fields beneath the Arctic are more accessible.
“There’s simply a lot more traffic in that part of the world now,” notes Peter Rybski, a retired US Navy officer and Helsinki-based, Arctic expert.
“You have an active oil and gas exploration and extraction industry in Russia, as well as a newly-emerging trans-shipment route from Europe to Asia.”
Rauma Marine ConstructionsFollowing Trump’s outline announcement last autumn, the first contracts were awarded on 29 December.
Finland’s Rauma Marine Constructions is to build two icebreakers for the US Coast Guard at its shipyard in the Finnish port of Rauma. The first ship is due to be delivered in 2028.
A further four will be constructed in Louisiana, with all six using an Aker Arctic Technology diesel-electric powered design.
The US orders are part of an effort to catch up with the number of Russian icebreakers. Currently Russia has around 40, including eight that are nuclear powered.
By contrast, the US presently only has three in operation.
Meanwhile China operates around five polar-capable vessels. “None of them are technically icebreakers,” says Rybski, pointing to their design not meeting the strict criteria. “But they are increasing their fleet.”
He adds that China has increasingly been sending these “research” ships into Arctic waters between Alaska and the far east of Russia, including areas that the US considers its “exclusive economic zone”.
“With limited means to respond this becomes a problem [for the US].”
Trump’s desire to enlarge its icebreaker fleet goes beyond the practicalities of operating in ice-clad Arctic seas, assesses Lin Mortensgaard, a researcher at the Danish Institute of International Studies. She says it is also about projecting power.
“No matter how many aircraft carriers you have and how much you use them to threaten states with, you cannot sail your aircraft carrier into the central Arctic Ocean,” she says.
“Icebreakers are really the only kind of naval vessel to signal that you are an Arctic state, with Arctic capabilities. And I think this is what much of the US discourse is about.”
James BrooksBack in Finland, Helsinki Shipyard occupies a dock on the capital’s waterfront. It is where half of the world’s icebreakers have been made. Today owned by Canadian firm Davie, it also hopes to win new contracts from the US Coast Guard.
“The geopolitical situation has changed definitely,” says the shipyard’s managing director, Kim Salmi.
“We have our eastern neighbour here [Russia]. They are building their own [new] fleet. And the Chinese are building their fleet.”
He adds: “The US, Canada and the western allies in general, are looking for the power balance.”
Inside a cavernous shipbuilding hangar, workers cut and weld steel for the yard’s latest icebreaker, a heavy-duty Arctic vessel, called Polarmax that’s destined for the Canadian coastguard.
The Finns can build these complex vessels remarkably swiftly – it takes between two-and-a-half and three years – thanks to a streamlined production method, and decades of experience.
“Over 100 years, we have practised this,” says Arctia’s Visuri. “You’ve got this cycle of designers, operators, builders. That’s why Finland is the superpower of icebreakers.”
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