New Delhi, March 21 -- The Ministry of Civil Aviation (MoCA) will lift temporary domestic airfare caps effective March 23, following the stabilisation of flight operations and capacity restoration, sources said.

These restrictions were originally imposed in December 2025, after widespread, massive flight cancellations by IndiGo led to a severe capacity shortage, causing airfares to skyrocket across major domestic routes.

Sources indicated that the lifting of these restrictions will return pricing to a market-driven model.

While removing the caps, the Ministry cautioned airlines to maintain reasonable, transparent pricing and warned of potential regulatory intervention if unjustified surges occur.

The Directorate General of Civil Aviat...