Budget carrier IndiGo on Monday announced that it will refund all pending credit shells by the end of January 2021. These credit shells were created when flights were cancelled due to the coronavirus lockdown earlier this year.

The airline in a statement said it has already processed close to Rs 1,000 crore of refunds, which is approximately 90 per cent of the total amount it owed to its customers.

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“The sudden onset of Covid-19 and the resulting lockdown, brought our operations to a complete halt by the end of March of this year. As our incoming cash flow dried up, we were unable to immediately process refunds for cancelled flights and had to create credit shells for the refunds that were due to our customers,” IndiGo chief executive officer Ronojoy Dutta said.

“However, with the resumption of operations and a steady increase in demand for air travel, the airline’s priority has been to refund the credit shell amounts in an expedited manner,” Dutta added.