Civil Aviation Minister Ram Mohan Naidu said the government was closely watching SpiceJet's operations and finances. The carrier's long-running cash-flow difficulties have worsened amid disruption linked to the Middle East conflict.

Authorities have limited room to intervene in a privately run airline, but the government extended an emergency credit-guarantee program under which SpiceJet received 1.5 billion rupees, about $15.7 million. Reuters previously reported delayed pilot salaries and efforts to secure state funding.

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