IndiGo shares jump on new fuel surcharge; UBS, Citi positive despite West Asia conflict
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CNBC TV18•16-03-2026, 10:12
IndiGo shares jump on new fuel surcharge; UBS, Citi positive despite West Asia conflict
•IndiGo shares gained after implementing a fuel surcharge across all domestic and international routes due to rising Aviation Turbine Fuel (ATF) prices.
•The surcharge, effective March 14, 2026, is ₹425 for domestic/Indian subcontinent and ₹900-₹2,300 for international routes.
•Brokerage firms Citi and UBS maintain 'Buy' ratings on InterGlobe Aviation, viewing the fuel surcharge as a meaningful positive step.
•The airline adjusted Middle East operations, reducing flights from 150-160 to 36 daily between March 16 and March 28, 2026, due to geopolitical tensions in West Asia.
•Analysts estimate the surcharge could significantly improve yields by 8-10%, helping absorb higher crude oil prices.
