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India's airline passenger traffic posts modest gains in August

Rising airfares, however, threaten to sap demand

The capacity shortage created by the exit of Jet Airways pushed up airfares, a boon for top carriers such as IndiGo.   © Reuters

MUMBAI (NewsRise) -- Airline passenger traffic in India improved further in August, stirring hopes of a rebound in travel demand, even as rising airfares and a slowing economic growth pose hurdles.

The number of passengers flown last month rose 3.9% on-year to about 11.8 million, according to government data. The growth in passenger traffic mildly improved from 3% in the month of July.

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