Indigo Share Price Slides 3%: What Triggered A Rs 16,000 Crore Market Cap Crash?

InterGlobe Aviation, the parent company of IndiGo, came under sharp market pressure on Friday as its stock fell nearly 3%, slipping to about ₹5,288.85 by early afternoon. The decline extended the sell-off that began a day earlier, wiping out more than ₹16,000 crore in market capitalisation within 48 hours and making the newly inducted Nifty 50 stock one of the index’s weakest performers this week.

The decline mirrors a turbulent stretch for India’s largest carrier. IndiGo has been struggling to stabilize its operations after a wave of cancellations and delays that rippled across major airports this week. Passengers reported long queues, last-minute schedule changes and difficulty securing alternate flights, prompting heightened regulatory attention.

Also Read: Not Before February 10? IndiGo Accepts Rostering Challenges, Cancellations Likely For Next 2-3 Days | Republic World

Much of the disruption stems from IndiGo’s transition to the updated Flight Duty Time Limitation (FDTL) norms, which mandate longer rest periods and stricter controls on night flying. Although the rules were announced months in advance, the shift has required a significant reworking of internal rosters. Scheduling mismatches and crew shortages have reportedly created a cascading effect, throwing aircraft rotations off balance.

IndiGo’s operational troubles have now drawn direct intervention from the Civil Aviation Ministry, which is reviewing the situation amid an unusually high volume of cancellations. According to a DGCA communication issued on Thursday, the airline has been cancelling nearly 170–200 flights a day since late November—far above its typical range. The Civil Aviation Minister has held a dedicated review meeting with senior ministry officials and the airline’s top management, directing airports to manage crowding and assist stranded passengers. The regulator, meanwhile, has been asked to track fares to prevent opportunistic spikes during the disruption period.

At a parallel regulatory review, IndiGo linked the ongoing cancellations to multiple stress points: the Phase-II rollout of revised FDTL norms, internal crew-planning gaps and seasonal winter constraints. The tougher fatigue-management regime, introduced in July and November following court orders, has tightened night-duty limits and increased crew requirements—adding to the pressure on an already stretched roster.