Moody's Slams IndiGo, Calls Flight Disruptions 'Credit Negative'

New Delhi: More trouble mounts for IndiGo Airlines, which is already grappling with a lot of challenges. Moody’s, the global credit rating agency, says IndiGo’s poor preparation for long-announced aviation regulations led to major flight disruptions and is viewed as credit negative.

Moody’s on Monday warned that the recent flight disruptions are “credit negative” for the airline. The agency adds that the chaos highlights serious gaps in the airline’s planning and oversight, despite having more than a year to prepare.

The ratings agency said IndiGo could lose revenue and suffer image damage after hundreds of flights were delayed or cancelled when new Flight Duty Time Limitations (FDTL) came into force during the busy winter travel period.

Meanwhile, IndiGo also informed its passengers that refunds for flights cancelled between 3rd December 2025 and 15th December 2025 are already being processed.

"We’d like to inform you that refunds for flights cancelled between 3rd December 2025 and 15th December 2025 are already being processed. In case your plans have changed due to the disruption, we are also offering a full waiver on change and cancellation requests for all bookings valid for travel till 15th December 2025. You can do so by visiting https://bit.ly/4iGWxU9 and following the simple steps. Refunds will be credited to the original payment method and may appear as one or two transactions," the post read.

"We are deeply sorry for the disruption to your journey. Please be assured that our teams both on the ground and behind the scenes are working tirelessly to support all affected customers and restore normal operations as quickly as possible," the airline added.

IndiGo has so far refunded Rs 827 crore to affected passengers, and the rest is under process for cancellations.